Economics Answers

2. In a simple scenario with only two factors of production, suppose that capital’s share of income is .4 and labor’s share is .6 and the annual growth rates of capital and labor are 6 and 2 percent, respectively. Assume there is no technical change.
a. At what rate does output grow?
b. How long will it take for output to double?
c. Now suppose that technology grows at a rate of 2 percent. Recalculate your answers to parts a and b.

A painter who was entitled to trade discount of 20% on all materials purchased was sent a bill for R3500. Calculate the original price of the goods that the painter purchased.

suppose that you are offered a job selling nature books from door to door, and that the company offers a choice of either R350 per week, or R200 per week plus 2% of the value of all sales, or R80 per week plus 4% of all sales. the choice is difficult decision since you are unsure as to the value of the sales made each week, calculate the best choice, if the value of the sales made each week is R8000.

5/16+ 4/5+7/40=
12(4) + (3-6)=

5. If both the demand and supply of loanable funds in the market decrease, with the decrease in supply larger than the demand impact, then the real interest rate will ___ and investment will ___.

3. If GDP is 10 000, with a negative trade balance of 3 000, a government deficit of 2 500 and household savings of 2 000, investment is ___.

discuss three methods of calculating GDP in this economy assuming that 1000 litres of milk were produced in 2018

What is likely to happen to cigarette market Price and the Quantity demanded (Qd) if the tax bill is enacted? Show this graphically.

Suppose the U.S. Congress is considering passing an excise tax that would increase the price of a pack of cigarettes by $1.00. What would be the likely effect of this change on the demand and supply of cigarettes? Show this graphically.

Rents are soaring in LA area. What demand and supply determinants drive the rents going up? Tell us about your neighborhood’s housing market.