Assume that the high costs of performing under a contract cause the promisor to breach the contract and pay perfect expectation damages to the promisee. Would the promisee have preferred that the promisor perform? Explain your answer.

What are reliance damages? Would it be efficient if the only remedy for a breach of contract were reliance damages? Explain.

1.What will happen to the price in a competitive market in the long run? Draw a graph of the entire market (all firms versus all consumers) to illustrate why this happens.

a.What are the characteristics of a competitive market?

b. With the market back at market equilibrium, what is the consumer response given that a single firm raises its price above the equilibrium price?

c.If a firm finds out that there are a lot of consumers willing to buy the good if they lower their price below the long-run market equilibrium price, will they do so? Why or why not?

d. How would a price rise initiated by most of the firms in a market cause a different response than that of a single firm, as depicted in part b?

Please show all steps:

An asset was purchased for $80,000. It has a 5 year life. The asset is expected to have a salvage value of $10,000 after the five years. Show the depreciation and remaining book value for this asset for each of the 5 years using Double Declining Balance depreciation.

Show graphically the following situation. A typical dairy farm is initially breaking-even. Show the profit-maximizing level of output and labeled it q*. Next, show how a decrease in milk prices due to COVID-19 will affect the dairy farm. You will need to draw another demand curve and any cost curves to show the situation. Will the firm be still breakingeven? Label the new level of output produced by the firm as q2. Assume that the dairy farm is still able to keep producing.

Why is it that if an industry is operating under conditions of internal scale economies then the resultant equilibrium cannot be consistent with the pure competition model?

a) What is the difference between government budget deficit and national debt?

b) What is a sovereign debt crisis? Why do we need to look at the national debt as a percentage of country’s GDP instead of just in terms of trillions of dollars?

c) Carefully explain why an increase in debt-to-GDP ratio would lead to a higher deficit? (You should describe 3 links connecting debt-to-GDP to deficit). Why is this a problem?

a) Using the AS-AD model, graphically illustrate and describe in words what happens to the long-run and short-run equilibrium level of aggregate output and inflation, when the economy is hit by a negative demand shock and the fiscal policy responds to the shock. Make sure you properly label all the axes and curves. Be specific to describe how the fiscal policy can act in this case.

b) Describe the government spending multiplier and how it would affect the fiscal policy response above in part (a).

c) Now, suppose the economy is at the zero lower bound and output is below potential due to a negative demand shock. Explain in words and using the AS-AD model why in this case the fiscal policy impact would be likely bigger and more helpful for the economy?

HISTORY 1930s--- Which of the following programs of the 1930s initiated under Roosevelt’s presidency sought to enforce industrial production quotas, prices, and wages, and was declared unconstitutional by the Supreme Court due to the program bringing too much government control over individuals’ use of their private property?

Exercise 1:

The example exercise is to work through a loan amortization example using Excel. Open Activity 3-Workbook. Go to Exercise 1 worksheet.

The example loan conditions are (enter these values under Loan Terms):

                                                            Loan amount borrowed (principal or pv) $100,000

                                                            Loan interest (rate) is 7.5%

                                                            Loan term (number of payments or nper) is 9 years

                                                            Annual payments of principal and interest

1. Calculate the annual loan payment in cell C7 using the PMT function in Excel. The PMT function is in the formulas under the Financial menu option. In the PMT Menu box, the Rate is the interest rate, nper is the number of payments or term, and PV is the principal amount borrowed (enter this as a negative value). FV and Type should be blank or you can enter 0. Use your mouse and use the cell reference to enter the required entries.
   
2. Write the needed formulas in the Loan Amortization Table given to calculate the interest payment and the principal payment for each period payment.

1^st, Interest Payment: Calculate the interest payment as follows: Interest payment = period interest rate * the outstanding loan balance. Start from Pmt Num 1 and use the loan balance of the previous period. You need to use absolute and relative cell addresses to accomplish this task!

2^nd, Principle Payment: When you make payments on a loan, part of your payment goes for interest on the loan and part goes to pay back the loan (principle). Subtract the Interest Payment from the Annual Loan payment (i.e., principal and interest that you calculated using PMT) to calculate the amount paid on principal.

3^rd, Loan Balance: Subtract the principal payment from the previous period outstanding balance.
In each period, the loan balance is whatever loan balance was left from the previous payment minus principle payment. (Note: Loan Balance in period 0 is the amount borrowed).

4^th, copy and paste the formulas for the remaining 8 payments.

5^th, enter formulas to sum the totals of Interest Payments and Principle Payments in your table.

1. Calculate the total amount paid (Principal + Interest) using values in Term (cell C6) and Loan Payment (cell C7).
2. Use the Excel IPMT formula to calculate the interest payment for payment 3 in D19. Again, enter PV as a negative value.
3. Use the Excl PPMT formula to calculate the principal payment for payment 4 in D17.
4. Check to see if the results of a, b and c are the same as calculated by your Loan Amortization Table.

What is currency manipulation and how do governments do it? Is China a currency manipulator? What does China gain by manipulating its currency? Is it a critical issue in the global economic dynamics? There are conflicting reports on the subject. Whats your opinion?

Will the Saudi economy rise if vision 2030 succeeds?

about 500 words

Please come up with a diagram (i.e. using a two-player decision matrix such as the Prisoner's Dilemma example in the Learning Notes) for an original game theory/prisoner's dilemma scenario (either in business, politics, or your own personal life), and explain what would be the most likely outcome of the scenario you have chosen.

more than 200 words please

a.Please explain what is the difference between a change in demand versus a change in quantity demanded?

b.Why is it so important to differentiate between these similar-sounding terms?

c.What role do elasticities play in the decisions that individuals and firms make?

d.Consider a product you recently purchased – please state the product, and explain if you feel its demand is elastic, or inelastic, and why.