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In: Economics
A utility maximizing saver has u(f1, f2) = f11/2f21/2 and earns m1 = 90, m2 =...
A utility maximizing saver has u(f1, f2) = f11/2f21/2 and earns m1 = 90, m2 = 90. She can save at an interest rate of 25 percent. If she hires an investment advisor she can save at an interest rate of 80 percent. What is the most that she would pay in fees to this advisor?
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Rahul Sunny answered 2 years agoRelated Solutions
A utility maximizing saver has u(f1, f2) = f11/2f21/2 and earns m1 = 90, m2 =...
A utility maximizing saver has u(f1, f2) =
f11/2f21/2 and earns
m1 = 90, m2 = 90. She can save at an interest
rate of 25 percent. If she hires an investment advisor she can save
at an interest rate of 80 percent. What is the most that she would
pay in fees to this advisor?
Let M1 = (Q1, Σ, δ1, q1, F1) and M2 = (Q2, Σ, δ2, r1, F2)...
Let M1 = (Q1, Σ, δ1,
q1, F1) and M2 = (Q2,
Σ, δ2, r1, F2) be DFA's where
Q1 = {q1, q2, q3,
q4}, F1 = {q1, q3,
q4}, Q2 = {r1, r2,
r3} and F2 = {r1, r3}.
Assume that the cross product construction has been applied to
M1 and M2 to produce a new DFA M = (Q, Σ, δ,
s0, F), and that all possible states in M are reachable
from s0. Please answer the following...
Show that if (1) F1 and F2 are connected sets, and (2) F1 ∩ F2 is...
Show that if (1) F1 and
F2 are connected sets, and (2)
F1 ∩ F2 is not empty,
then F1 ∪ F2 is
connected.
also
Suppose that F is connected. Show that F¯ (the closure of F) is
also connected.
Romeo lives two periods, and he earns m1 =$10,000 in period 1 and m2 =$12,000 in...
Romeo lives two periods, and he earns m1 =$10,000 in
period 1 and
m2 =$12,000 in period 2, respectively. His utility
function is u(c1; c2) = c1*c2.
Answer the following questions.
(a) Suppose that market interest rate is 50% (r = 0:5). Write
down
Romeo‘s budget constraint. How much does he save or borrow in
period 1?
Calculate. Explain your answer. Draw a diagram, too.
(b) The interest rate goes down from 50% to 25%. What happens
his
saving or...
two masses m1 = 4.70 kg and m2 which has a mass 50.0% that of m1,...
two masses m1 = 4.70 kg and m2 which has a mass 50.0% that of
m1, are attached to a cord of negligible mass which passes over a
frictionless pulley also of negligible mass. If m1 and m2 start
from rest, after they have each traveled a distance h = 2.90 m, use
energy content to determine the following.
(a) speed v of the masses
(b) magnitude of the tension T in the cord
Block 1 with m1 = 0.127 kg and block 2 with m2 = 0.163 kg are...
Block 1 with m1 = 0.127 kg and block 2 with m2 = 0.163 kg are
supported on a horizontal frictionless table whose surface is 1.75
m above a horizontal floor as shown in the Figure. Block 1 has an
initial speed of v = 5.50 m/s toward block 2 which is initially at
rest.
A) (7 pts) Block 1 collides with block 2 and coalesces (forms
one object). Calculate the velocity of the coalesced object.
B) (10 pts) The...
The 2 -dimensional arrays m1 and m2 are strictly identical if their corresponding elements are equal. ...
The 2 -dimensional arrays m1 and m2 are strictly identical if
their corresponding elements are equal.
Write the method "equals" which returns True if the arrays are
strictly identical and False if they are not.
The method's header is: public static boolean equals(int[][] m1,
int[][] m2)
Here is the program:
import java.util.Scanner;
public class StrictlyEquals {
public static void main(String[] args) {
Scanner input = new Scanner(System.in);
final int ROW_SIZE = 3;
final int COLUMN_SIZE = 3;
System.out.print("Enter m1 (a...
Question 2: Simultaneous quantity choice: Two firms F1 and F2 producea homogeneous product and compete on...
Question 2: Simultaneous quantity choice: Two
firms F1 and F2 producea homogeneous product and compete on the
same market. The market price isdescribed by the inverse demand
curve P= 11−2Q, where Q is total industry output and P is the
market price. To keep things simple, suppose that each firm can
produce either 1 or 2 units (these are the only possible choices of
production).Further suppose that both firms have a constant
marginal cost equal to 2, so that the...
1) Define MB, M1, M2 and M3. 2) What is the reason for using these different...
1) Define MB, M1, M2 and M3.
2) What is the reason for using these different measures
of money supply?
3) Is there a measure of money supply that is NOT
affected by the banking multiplier, i.e. that is determined solely
by the actions of the Central Bank?
4) Which nominal interest rate is controlled by the
Central Bank? How?
A maximizing consumer with preferences u = x1/2y1/2 has an income of 40 dollars. Prices are...
A maximizing consumer with preferences u =
x1/2y1/2 has an income of 40 dollars. Prices
are pX = 1 and pY = 2. At CostCo the price of
good X is pX = 0.25. Provide an Indifference Curve
Diagram to illustrate and quantify the Income Effect and
Substitution Effect for this price change. The horizontal intercept
of her compensated budget line is equal to _________
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