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1. How is it possible for some people to pay negative taxes?
2. Why is it important to distinguish between deficits and debt?
3. Why may a budget surplus be considered undesirable?
Business Economics, Economics
A grocery store rewards card has a 7 digit number to identify the user. The first digit must be 1 or 2. The remaining six digits take values randomly between 0 - 9 inclusively. What is the probability that the ID number ...
Why do households need to hold a mixture of bonds and money? What determines the proportion of bonds/money that household keeps?
Investors are evaluating two 6-year bonds at time t in a financial crisis setting where there is a strong likelihood of default. Assume the following values for the probability of default (z) of the two bonds, issued res ...
The diameter of Ping Pong balls manufactured at a large factory are approximately normally distributed with a mean diameter of 1.30 inches and a standard deviation of .04 inches. Use Excel to calculate the probability of ...
Income effects depend on the income elasticity of demand for each good that you buy. If one of the goods you buy has a negative income elasticity, that is, it is an inferior good, what must be true of the income elastici ...
Find the mean and the standard deviation of a Binomial Distribution with n = 65 and p = 0.32 Mean = 24; Stand. Deviation= 4.1 Mean = 20.8; Stand. Deviation= 3.76 Mean = 28; Stand. Deviation= 3.66 Mean = 21.8; Stand. Devi ...
Suppose demand and supply are given by: Q d x = 14 - 0.5 P x and Q s x = .25 P x - 1 a) Determine the equilibrium price and quantitiy. b) Suppose a $12 excise tax is imposed on the good. Determine the new equilibrium ...
How over the past 3 years, has Cash and Futures Oil Price volatility affected the Australian equity market.
Suppose that Third National Bank has reserves of $20,000 and check able deposits of $200,000. The reserve ratio is 10 percent. The bank sells $20,000 in securities to the Federal Reserve Bank in its district, receiving a ...
We perform a statistical test to examine if the mean lifetime of lab mice increases when given vitamin B12 compared to a placebo. Which of the following is a Type I error? Conclude that Vitamin B12 increases the mean lif ...
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Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate
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