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1)What leads to cost-push inflation in an economy? Select one: a

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1)What leads to cost-push inflation in an economy? Select one: a. A decrease in productivity b. A decrease in wages C. A decrease in interest rates d. A decrease in profit margins

2)pts Refer to the figure to answer the following questions. Price level (P) LRAS, LRAS2 A SRAS, E 18 SRAS2 D C AD2 AD Real GDP (Y) Based on the figure, which of the following would cause the long-run equilibrium point to change from point B to point D? The population has aged and there are fewer people in the labor force Firms and workers expected the price level to rise. The economy experienced an increase in government spending The economy was in an expansion and has adjusted. The country's overall productivity increased

3)Investment Plan Optimization (Oil and Gas Industry in the United States) A global investment company would like to make an investment on several Oil and Gas Companies in the United States. Total annual expected return (in thousands) and cost for block of shares (investment costs in thousands) are given in Table 1. Table 1. Company name, expected annual return and cost for block of shares EXPECTED COST FOR COMPANY NAME ANNUAL RETURN BLOCK OF SHARES (LOCATION) (IN THOUSANDS) (IN THOUSANDS) Trans-Texas Oil (Texas) $ 50 $ 480 British Petro (Foreign) $ 80 $ 540 Dutch Shell (Foreign) $ 90 $ 680 Houston Drilling (Texas) $120 $1,000 Lone Star Petro (Texas) $110 $ 700 San Dieago Oil (California) $ 40 $ 510 California Petro (California) $ 75 $ 900
Considering the above table and the investment constraints, a) Please formulate your LP model and explain why our decision variables are binary (10 points)

4)Car dealerships offer various financing options including 0.0% APR for 72 months ($13.89 for every $1000 borrowed) and 1.9% APR for 36 months ($28.60 for every $1000 borrowed). a) Show how the amounts for every $1000 borrowed were calculated. b) You are in the market for a new car and can afford a monthly payment of $400. How much money can you borrow under each financing option (round to the nearest thousand)?