Country A uses a complementary approach to support R&D. Assume that each dollar of forgone tax revenue through the R&E tax credit causes firms to invest at least $1.50 in R&D. Calculate the total investment in R&D caused by the R&E tax credit if the forgone tax revenue through the R&E credit is $2.6 million. Enter your answer in the box below and round to two decimal places if necessary.

Three students have each saved $1,000. Each has an investment opportunity in which he or she can invest up to $2,000. Here are the rates of return on the students' investment projects: Return Student (Percent) Antonio 4 Dmitri Frances 15 Assume borrowing and lending is prohibited, so each student uses only personal saving to finance his or her own investment project. Complete the following table with how much each student will have a year later when the project pays its return. Money a Year Later Student (Dollars) Antonio Dmitri Frances

The Federal election is just around the corner. The competition between the two candidates, Sam and Jenny , is fierce. As a consumer (and Australian voter), you only care about public transportation and child care. Let public transportation be good X and child care be good Y . Each trip in the public transportation costs $10 and each day of child care service costs $100. Your after-tax income is $500 per week. Assume that you always consume a positive amount of both X and Y (also known as interior bundles). Your utility function is given by: U(x, y) = αxβ + 2y + 1   Write down the MRS in terms of α, β, x, and y   Draw two indifference curves. Do the indifference curves have the same slope along any vertical line (when x is held constant)? Illustrate and explain.   Is it possible to establish whether Y is a normal or inferior good? Explain.   Based on your answer in part (c), is the price elasticity of Hicksian demand for Y greater, smaller, or equal to that of Marshallian demand?…

1)How do markets to Shifts in the Demand and / or the Supply curve.What is the difference between a movement along a specific demand curve or supply curve and a shift of that demand or supply curve. Provide an example using the recent Corona Virus situation. 2) What is GDP? What is real GDP ? What is per capita GDP ? Why is our GDP shrinking in the ongoing Corona Virus Crisis? What is a clear indication that the GDP will be decreasing? Question 3:Why did the Fed switch from increasing Federal Reserve target rates from Dec 2015 to Dec 2018 to reducing interest rates in August 2019? Question 4.Economists often say that trade is a win-win situation. How do you justify this? Why might well-educated economists disagree on appropriate public policy in some situations?Explain some policy options that the US and other countries are considering or implementing in terms of the Corona Virus crisis. 6. Carefully distinguish between an economic theory and economic model. What is the role of value…

You must show your work or you may not get credit. You are the economic advisor of the ruler of Pongo.  Suppose the people in the country of Pongo loves eating worms and pine cones.  The price of a worm is $2 and the price of a pine cone is $6.  As this land is ruled by the super awesome and awesomely benevolent Dr. Lee, he ensures all people have $24,000 each day to spend on worms and pine cones.  All the people have the same marginal rate of substitution for worms and pine cones which is presented below: MRS = [MU(Worms)/MU(Pine Cones)] = 4(Qw/Qp) Please help the super awesome leader make his people as happy as possible subject to the information provided above.  Specifically, how many worms and pine cones should each person eat per day? [Hint: Maximize happiness subject to budget constraint.]

Great ideas don’t automatically become a reality! Ideas must be transformed into actual products. How will the information discovered by Ford’s research and development activities affect Ford’s planning for production?

It’s the year 2050, and things are a little crazy (crazier?) in America. Sen. Shellow Bazic (Texas) – whose vote is pivotal in the senate – has sponsored a bill in the senate to require all employers in America to pay their employees with Texas Roadhouse meal vouchers. She says that at least $500 of compensation per month should be paid in this form. A $500 voucher will cost employers $500, and can be redeemed for meals at Texas Roadhouse up to a value of $500. Change will be given in further vouchers. Vouchers are not transferrable (so they have to be used by the employee themselves). You are advising the senator for Georgia, and remember that years ago you took an employee benefits class. a. estimate how cash wages will change as a result of the introduction of this program.

The economic theory of the firm assumes that businesses attempt to maximize their contribution to social welfare.       a. True     b. False

The input-output matrix for a simplified economy with just three sectors (natural resources, manufacturing, and trade and services) is given below. Natural Resources Manufacturing Trade and Services 0.1044 0.0427 0.0029 0.0584 0.2031 Natural Resources Manufacturing 0.0826 Trade and Services 0.0866 0.1087 0.1019 Suppose the demand (in millions of dollars) matrix is the matrix D, shown below. Find the amount each sector should produce. 451 D= 301 125 Production levels of units from natural resources, services are needed. (Round to the nearest whole number as needed.) units from manufacturing, and units from trade and

How can an economy increase the production of one good without reducing the production of another? Identify at least three factors that contribute to this increase and explain how they contribute to the increase.