1. What mainly causes the price instability of agricultural goods?
2. How can producers attempt to overcome the problems that the cobweb theory illustrates?
3. What does the operation of the CAP and similar schemes tend to cause?
1 Which of the following is a central issue in macroeconomics?
A) the deregulation of the banking industry
B) inflation of prescription drug prices
C) the effect of excise taxes on consumers' buying patterns
D) none of the above
2 Which of the following is NOT an issue in macroeconomics?
A) issues relating to the balance of payment
B) the determination of prices in the agricultural sector
C) the relationship between inflation and unemployment
D) the possible effect of budget deficit increases on the level of investment
3 In studying growth theory
A) we focus on the very long run
B) we ignore recessions and booms
C) we assume that all inputs are fully employed
D) all of the above
4 In the very long run
A) the position of the AD-curve depends on the productive capacity of the economy
B) the position of the AS-curve depends on the degree of consumer confidence
C) the position of the AS-curve essentially determines the level of output
D) the position of the AD-curve is affected by changes in efficiency improvements
5 The position of the long-run AS-curve is determined by
A) the full-employment level of output
B) consumer confidence
C) fiscal policy
D) monetary policy
6 In the very long run,
A) the AS-curve is vertical
B) the AS-curve is horizontal
C) the AS-curve is upward sloping
D) the level of output is solely determined by the position of the AD-curve
7 Which of the following is NOT true in the very short run?
A) a shift in the AD-curve will change output but not prices
B) a shift in the AD-curve will change prices but not output
C) the AS-curve is horizontal
D) the position of the AD-curve can be influenced by fiscal policy
8 In the very short run
A) the position of the AD-curve determines the level of output
B) the position of the AD-curve cannot be changed by fiscal or monetary policy
C) a change in monetary policy will affect both the price level and the level of output
D) a change in fiscal policy will not change the level of output
9 In the very short run
A) the level of prices can change quite rapidly, but the level of output is fixed
B) the level of prices is unaffected by the level of output
C) the level of prices and the level of output change with a shift in aggregate demand
D) the level of prices and the level of output are both fixed
10 In the medium run, restrictive fiscal policy will cause
A) a decrease in the level of output but no change in the level of prices
B) a decrease in the level of prices but no change in the level of output
C) a decrease in both the level of prices and the level of output
D) a decrease in real GDP with no change in nominal GDP
11 In the medium run, monetary policy can be used to
A) shift the AD-curve, but this will only result in a price change, not in a change in real GDP
B) affect nominal GDP, but this will not have any effect on real GDP
C) lower the price level while increasing the level of real GDP
D) lower the price level but only at the cost of also lowering the level of real GDP
12 Periods of very high inflation rates
A) can only occur in a situation when the AS-curve is vertical
B) most often are caused by sharp increases in aggregate demand
C) can only occur if the output gap is large
D) most often occur when actual GDP is less than potential GDP
13 Potential GDP is
A) always greater than actual GDP
B) the level of GDP if unemployment is zero
C) equal to nominal GDP adjusted for inflation
D) none of the above
14 Which of the following does NOT affect the trend path of GDP over time?
A) efficiency improvements
B) an increase in population growth
C) fluctuations in the unemployment rate
D) the availability of capital equipment
15 The output gap is defined as
A) nominal GDP minus real GDP
B) potential GDP minus actual GDP
C) nominal GDP adjusted for inflation
D) actual output minus the output that could be produced if the capital stock remained constant
16 One of the main controversies in macroeconomics is
A) whether the AS-curve is really flat in the very short run
B) whether the AD-curve can be shifted by fiscal or monetary policy
C) how steep the medium run AS-curve really is
D) whether the level of output can be changed by an increase in the efficiency of the factors of production
17 If we compare the trend path of GDP with the behavior of actual GDP in the U.S. over the last four decades, we realize that
A) actual GDP never went above potential GDP
B) the output gap was never more than 5 percent of GDP
C) the output gap never was negative
D) none of the above
18 If we look at the growth of real GDP per capita around the world from 1913-98, we see that
A) the U.S. had the highest growth rate among industrial nations
B) the U.S. growth rate was about twice as high as that of the United Kingdom
C) the U.S. growth rate was only about half of Japan's
D) Japan was the only country with a growth rate higher than the U.S.
19 Increases in the rate of inflation
A) generally are inversely related to the output gap
B) are more pronounced in periods of recession
C) always coincide with a decrease in the unemployment rate
D) generally do not occur in periods of high growth in money supply
20 If we look at the behavior of the U.S. CPI over the last four decades we realize that inflation
A) never exceeded 10 percent
B) steadily increased in the 1970s
C) was, on average, lower in the 1990s than in the 1960s
D) was at its highest in the early 1980s
1. What other disease does the podcast state influenza is paired with in CDC reports?, Why?
2. Why is influenza a dangerous disease?
3. Using information presented in the podcast, state why, in paragraph form, it is recommended that healthcare providers receive an annual flu vaccine?
4. According to the podcast, why might someone think the vaccine gave them the flu?
5. According to the podcast, what factors are holding people back from receiving the flu vaccine?
6. According to the podcast, what are the most effective ways of encouraging people to have a flu vaccine?
7. Using Pender’s Health Promotion Model Explain, in paragraph form, what state of mind (aka stage of the model) is necessary for someone to receive the flu vaccine.
8. 2 extra points if you give me the correct internet citation for your source on Pender and the correct citation for a podcast.
Copy and paste your question here…
1. Which of the following combinations is incorrect? (A) Acquiescence – Submission (B) Wheedle – Roundabout (C) Flippancy – Lightness (D) Profligate – Extravagant
1. Which horse won the Melbourne Cup in 2002?
2. What was Sir Donald Bradman’s batting average?
3. Who is Australia’s only Formula One driver?
4. Who won the Brownlow Medal in 2003?
5. Who was the most recent Australian to win the men’s singles title at Wimbledon?
1. Who investigates mergers and takeovers?
2. Suggest three reasons for vertical integration.
3. Distinguish between internal and external economies of scale.
1. Why can't some technique like the perfect shuffle be used to avoid the problems with dynamically declared arrays in the polynomial multiplication procedure of Chapter 36?
2. Write an efficient program to multiply a polynomial of degree N by a polynomial of degree M (not necessarily powers of two).
1. Which would you prefer to use, an algorithm requiring N5 steps or one requiring 2N steps?
2. Does the “maze” graph in Chapter 29 have a Hamilton cycle?
3. Draw the tree corresponding to Figure 44.4 when you are looking for a Hamilton cycle on the sample graph starting at vertex B instead of vertex A.
1. Who designed the Sydney Opera House?
2. How many albums did the late slim Dusty record?
3. Who painted the Nebuchadnezzar series?
4. Who wrote “Cloudstreet”?
5. In what year did the Australian National Gallery open?
Handstar Inc.
Handstar Inc. was created a little over four years ago by two college roommates to
develop software applications for handheld computing devices. It has since grown to ten
employees with annual sales approaching $1.5 million. Handstar’s original product was
an expense report application that allowed users to record expenses on their handheld
computers and then import these expenses into a spreadsheet that then create an expense
report in one of five standard formats. Based on the success of its first product, Handstar
subsequently developed three additional software products: a program for tracking and
measuring the performance of investment portfolios- a calendar program, and a program
that allowed users to download their email messages from their PC and read them on
their handheld computers.
The two founders of Handstar have recently become concerned about the competitiveness
of their offerings, particularly since none of them has been updated after their initial
launch. Therefore, they asked the directors of product development and marketing to
work together and prepare a list of potential projects for updating Handstar’s current
offerings as well as to develop ideas for additional offerings. The directors were also
asked to estimate the development costs of the various projects, product revenues, and the
likelihood that Handstar could retain or obtain a leadership position for the given product.
Also, with the increasing popularity of the Internet, the founders asked the directors to
evaluate the extent to which the products made use of the Internet.
The product development and marketing directors identified three projects related to
updating Handstar’s existing products. The first project would integrate Handstar’s current
calendar program with its email program. Integrating these two applications into a single
program would provide a number of benefits to users such as allowing them to
automatically enter the dares of meetings into the calendar based on the content of an
email message. The directors estimated that this project would require 1250 hours of
software development time. Revenues in the first year of the product’s launch were
estimated to be $750,000. However, because the directors expected that a large
percentage of the users would likely upgrade to this new product soon after its
introduction, they projected that annual sales would decline by 10 percent annually in
subsequent years. The directors speculated that Handstar was moderately likely to obtain
a leadership position in email/calendar programs if this project were undertaken and felt
this program made moderate use of the Internet.
The second project related to updating the expense report program. The directors
estimated that this project would require 400 hours of development time. Sales were
estimated to be $250,000 in the first year and to increase 5 percent annually in subsequent
years. The directors speculated that completing this project would almost certainly
maintain Handstar’s leadership position in the expense report category, although it made
little use of the Internet.
The last product enhancement project required enhancing the existing portfolio tracking
program. This project would require 750 hours of development time and would generate
first-year sales of $500,000. Sales were projected to increase 5 percent annually in
subsequent years. The directors felt this project would have a high probability of
maintaining Handstar’s leadership position in this category and the product would make
moderate use of the Internet.
The directors also identified three opportunities for new products. One project was the
development of a spreadsheet program that could share files with spread-sheet programs
written for PCs. Developing this product would require 2500 hours of development time.
First-year sales were estimated to be $1,000,000 with an annual growth rate of 10
percent. While this product did not make use of the Internet, the directors felt that
Handstar had a moderate chance of obtaining a leadership position in this product
category.
The second new product opportunity identified was a Web browser. Developing this
product would require 1875 development hours. First-year sales were estimated to be
$2,500,000 with an annual growth rate of 15 percent. Although this application made
extensive use of the Internet, the directors felt that there was a very low probability that
Handstar could obtain a leadership position in this product category.
The final product opportunity identified was a trip planner program that would work in
conjunction with a PC connected to the Web and download travel instructions to the
user’s handheld computer. This product would require 6250 hours of development time.
First-year sales were projected to be $1,300,000 with an annual growth rate of 5 percent.
Like the Web browser program, the directors felt that there was a low probability that
Handstar could obtain a leadership position in this category, although the program would
make extensive use of the Internet.
In evaluating the projects, the founders believed it was reasonable to assume each product
had a three-year life. They also felt that a discount rate of 12 percent fairly reflected the
company’s cost of capital. An analysis of pay-roll records indicated that the cost of
software developers is $52 per hour including salary and fringe benefits. Currently there
are four software developers on staff, and each works 2500 hours per year.
1. Which projects would you recommend Handstar pursue based on the NPV approach?
2. Assume the founders weigh a project’s NPV twice as much as both obtaining/retaining
a leadership position and making use of the Internet. Use the weighted factor scoring
method to rank these projects. Which projects would you recommend Handstar
pursue?
3. In your opinion is hiring an additional software development engineer justified?
Attachments:
Handstar-Inc.pdf
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