Answers to end-of-chapter problems Chapter 1 Quick Check 1. a. True. b. True. c. False. d. False/uncertain. The rate of growth was higher during the decade beginning in 1996 than during the previous two decades, but it is probably unrealistic to expect productivity to continue to grow at such a fast pace. e. False. There are problems with the statistics, but the consensus is that growth in China has been high. f. False. The European “unemployment miracle” refers
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Economic Objectives of Firms Usually, in economics we assume firms are concerned with maximising profit. Higher profit means: • Higher dividends for shareholders. • More profit can be used to finance research and development. • Higher profit makes the firm less vulnerable to takeover. • Higher profit enables higher salaries for workers However, in the real world, firms may pursue other objectives apart from profit maximisation. 1. Profit Satisficing • In many firms there is separation of
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Summary: Planning to protect 4.4 million undocumented immigrants from deportation, president Obama exercises his executive order right to make changes in immigration policy. The new immigration plan will not only protect many unlawful immigrants from being deported but it also gains them access in obtaining driver licenses and social security cards. In another word, they will be legally to work in United States but it offers no path to citizenship. This will open a path for many high skilled workers
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CHAPTER 1—WHAT IS ECONOMICS? MULTIPLE CHOICE 1. The basic problem of economics arises when there are unlimited resources available to fulfill society's limited wants. a.|True| b.|False| ANS: B PTS: 1 DIF: Difficulty: Easy NAT: BUSPROG: Analytic STA: DISC: Scarcity, tradeoffs, and opportunity cost TOP: Scarcity and Individual Choice KEY: Bloom's: Knowledge 2. Economics is the study of choice under conditions of a.|demand| b.|supply| c.|scarcity| d.|opportunity| e.|abundance|
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* The date when you finished the final exam: December 13 2013 You are advised to print a copy of this exam and read it prior to taking it. Make sure you have a word processor to use during the above dates (at home or work, in a lab or a public library, etc.). Do not use the small textbox to write your answers in WebTycho. Send me the electronic file with your answers as an attachment through the Assignments link! Please do not delete the questions as you are answering them. You may use the shaded/underlined
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Case summary: First the writer argued with the way that the government agency calculates unemployment, and the following caused inaccuracy in their estimations: 1. Mythical jobs: The government could not identify them; it made an assumption about trends and they are in industries such as finance that have absolutely no job creation. 2. Unpaid leave. These people don't count on the unemployment rolls. 3. At least 1.4 million people weren't counted among the unemployed, because they hadn't
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Assignment 1: Demand Estimation Due Week 3 and worth 200 points Imagine that you work for the maker of a leading brand of low-calorie, frozen microwavable food that estimates the following demand equation for its product using data from 26 supermarkets around the country for the month of April. For a refresher on independent and dependent variables, please go to Sophia’s Website and review the Independent and Dependent Variables tutorial, located at http://www.sophia.org/tutorials/independent-and-dependent-variables--3
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Question 1 of 30 Score: 8 (of possible 8 points) Bill Bonecrusher graduates from college with a choice of playing professional football at $2 million a year or coaching for $50,000 a year. He decides to play football, but eight years later he quits football to make movies for $3 million a year. His opportunity cost at graduation was _________ and eight years later was _________. | A. | $2 million; $2 million | | B. | $50,000; $2 million | | C. | $50,000; $50,000 | | D. | $2
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Gilbert Price ECO 201 Professor Harish Chandan January 19, 2016 1. What was Real GDP for 2014? $17.34 trillion a. What does GDP tell us? GDP is a measurement of the health of a country’s economy. b. How did GDP change from 2013? The real GDP in 2013 was $16.63 trillion causing an increase of $710 billion. c. What caused these changes? There was lower unemployment in 2014 from 6.7 to 5.6%. Also there was There was lower unemployment in 2014 from 6.7 to 5.6%. Also there
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Introduction “To Be on not to Be, that is the question,” a famous quote from Shakespeare poem Hamlet. My niece is interested in attending medical school and has solicited my professional opinion on whether it would be economical feasible for her to attend medical school and if so, the best location to practice medicine. There are many variables in determining the maximum benefit and/or advantages of medical school. Such variables could include but not limited to, gender, ethnicity, tuition
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