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As the price of Adidas basketball decreased, Kobe bought additional Adidas basketballs and less Nike basketballs. Which of the following expressions clarifies Kobe's decision to purchase more of Adidas basketball?
A. the price effect
B. an increase in the demand for Adidas basketballs
C. the substitution effect
D. the income effect
A firm is currently producing 80 units of output. At this level of output produced, P = 150 and ATC = 120. Also assume that MC = 130 and MR is constant at all output levels and equal to 150. Is this firm making profits? If so, what are these profits?
Consider the AD/AS model of the economy built from the IS/LM, and assume that the SRAS is upward sloping. The economy is currently operating at the full employment level of output. What are the short-run effects of the decrease in the MPC? What are ..
To derive the uncovered interest parity (UIP) condition we assume, among other things, that there is free movement of capital across countries. Is there a variant of the UIP that we can expect to hold (given the other assumptions) under such asymmetr..
He finds which he is overworked also which several of his research scientists seems to be spending work hours playing tennis.
What steps can Congress and state legislatures take to alleviate a serious national shortage of skilled providers. Research suggests medical errors have been linked to inadequate staffing.
Roughly speaking, a merger between two firms is legal:
You are the manager of a new firm that can choose between two technologies for producing output using only labor. Technology A can produce two units of output for each hour of labor input. Technology B can produce three units of output for each hour ..
Given the current economic climate nationwide and locally, the state of Delmarva would like to impose a higher tax on out-of-state companies doing business in the state than it imposes on in-state companies. Is this law legal, or is it a violation of..
Suppose the government decides to increase taxes by $40 billion in order to increase Social Security by the same amount. Explain how will this combined tax-transfer policy affect aggregated demand at current prices.
q1. 1. given that in 1995 real gdp was 6742.1 and nominal gdp was 7265.4 what is the value of the gdp deflator?2. for
Canada has a private market for the provision of health services, and until about 1970, spent the same % of GDP as the US on healthcare. Since that time, however, the rate of healthcare inflation in Canada is far lower than in the US. Does this mean ..
Which of one of the following is an disadvantage of multiple choice questions? How can descriptive statistics be defined. Which measure of varibility describes the average deviation of each score from the mean
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