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Think about the demand for the three popular game consoles: XBox, PS3, and Wii. In each of the scenarios below, briefly describe the effect on (a) the demand for XBox games and (b) the quantity of XBox games demanded
The price of an XBox falls?
The prices of a PS3 and a Wii fall?
The number of people writing and producing XBox games increases?
Consumers’ incomes increase?
Programmers who write code for XBox games become more costly to hire?
The price of an XBox game is expected to fall?
Crossroads Sign Case Assume you are the plant manager for Crossroads Sign Company, which produces road signs in a market that approximates perfect competition.
Prove the Heckscher-Ohlin theorem. Assume two different sets of factors abundances for two countries and derive the resulting free trade triangle. Use the combination of words and graphs for the answer.
There are, on average, 150 new migrants entering Hong Kong from the mainland every day. Use a diagram to explain how this affects the equilibrium wage and quantity of labour in Hong Kong.
How does definition of a market, or for that matter, a business strategy, affect that perception of a monopoly.
Which of the following would cause a movement along the supply curve (that is,a change in the quantity supplied)for hot dogs check all that apply
Marginal rate of substitution between leisure as well as labor as well as the marginal product of labor in the Robinson Crusoe model.
If a nation has an open economy, it means that the nation: In Adam Smith's trade model, labor is the only factor of production and the labor theory of value is the basis for cost. According to Smith's trade model in a two-nation, two-product world, a..
Explain the difference between absolute and comparative advantage. Explain the law of increasing (opportunity cost). What causes cause to increase? What factors or events could cause an inward shift of the production possibilities curve?
When the fed raises the federal funds rate, eventually there is.
Constrained Optimization in Economics 2. Minimize costs for a firm with a cost function Subject to the production quota
A sum of $25,000 is deposited into a savings account, which pays a yearly nominal 8% interest compounded semi annually. Equal annual withdrawals are to be made from the account, beginning 1 year from now and continuing forever. The maximum amount tha..
A perfectly competitive industry has a large number of potential entrants. all firms have identical cost structure and minimize cost at the same point where Min AC=MC. what will be the new market equilibrium price and quantity?
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