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The difference between the amount of capital at the beginning of a year and the amount of capital at the end of the year is equal to
A) Financial consumption
B) net Investment
C gross investment
D) Capital consumption
E) Depreciation
Which of the following is the result of the "Great Compromise" between the small and large population states?
Under what conditions will a firm close in the short run? Explain the reasoning behind the shutdown rules. If a firm has short-run losses, when would it stay open?
Graph the supply and demand curves in this market. Be sure to put the quantity (Q) on the horizontal axis and the price (P) on the vertical axis. You may use quantities two (Q = 2) through eighteen (Q = 18) by units of one (1) for your graph. What is..
In many modern U.S. industries, the following patterns seem to hold: Small firms are more likely to outsource production of inputs that are large firms; “Standard” inputs are more likely to be outsourced than “tailor-made” inputs.
A monopolist firm serves 6 consumers. Each of the consumers only buy one unit of the good. Two consumers buy one unit if the price is lower or equal than $100 and the other four consumers buy one unit if the price is lower or equal than $10. The firm..
Supply-side economics has a long history, dating back to at least the fourteenth century. The greatest of medieval historians, Abu Zayd Abd-ar-Rahman Ibn Khaldun (1332–1406), included in his book, The Muqaddimah (1377), an Islamic view of supply-side..
Explain the effect of restrictive fiscal policy on the level of output, prices, and interest rates for (i) the Keynesian AS-curve case, (ii) the classical AS-curve case, and (iii) the intermediate case.
Suppose that in addition to repairing your car, you can also spend money advertising. If you repair your car for Hours and spend A dollars advertising, your benefit (the amount you receive when you sell your car) is B(H,A)=220H-H^2+2A. What is your b..
illustrates the likely effect on the marketplace for eggs. Indicate in each case the impact on equilibrium cost also equilibrium quantity.
(L,K)=K1/2L1/2 Also, in the short-run capital is fixed at K=16. You also know that the wage rate for workers is w=10, the price of capital r=20 and that the price for the product is P=100. How many units of Labor should this firm hire in order to max..
Illustrate what strategies would you recommend in the fight against obesity. Elucidate what is GMA doing in the fight against obesity.
Alexandria's Dance Studio is currently an all equity firm that has 60,000 shares of stock outstanding with a market price of $24 a share. The current cost of equity is 11% and the tax rate is 40%. Alexandria is considering adding $2 million of debt w..
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