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Consider the following table.
Quantity Total Cost
0 $ 16
2 $ 17
4 $ 18
6 $ 19
8 $ 21
10 $ 27
12 $ 35
14 $ 45
(1) Suppose that the price of the product is $4. How many units will the firm produce?
(2) In the long run, will the price rise or fall from the current level at $4? Explain the reason.
Explain what is meant by fiscal policy. Give 2 examples of tools that can be used to implement fiscal policy. What are some of the problems with using fiscal policy?
Suppose that survey measures of consumer confidence indicate a wave of pessimism is sweeping the country. If policymakers do nothing, what will happen to aggregate demand? Explain what the Fed should do if it wants to stabilize aggregate demand. I..
Company M and N compete for market and decide independently how much to advertise. Every one can expend either $10 million or $20 million on advertising.
Suppose that oil prices rise sharply for years as a result of a war in the Middle East. Illustrate with a diagram what happens to the: Demand for automobiles? Demand for home insulation? Demand for coal? Demand for tyres? Demand for bicycles?
The City Symphony presents three open-air concerts in the city park pavilion during the spring and summer. Many who attend make donations for symphony expenses, but the donation is not required. Some who attend make no contributions.
The market price of the product the firm produces is $4 at each quantity supplied by the firm. What is the amount of labor that this profit-maximizing firm will hire,or what wage rate will it pay.
What is the policy credibility and how is it relevant to the problem of reducing high inflation How is credibility related to the time inconsistency problem What are the evidence of the Phillips curve.
What do you see as the basic values that underlie this approach to solving the access to care problem? Do these values align with specific political perspectives?
Create a list of reasons for your recommendation and include considerations of product features and use of advertising.
California's newly deregulated power market start operation. The large power utilities in state turned over control of their electric transmission amenities to the new Independent System Operator (ISO) to promise fair access to transmission through a..
Briefly explain how this will affect money supply over time and how, even without any intervention on the part of the government or the central bank, the economy would self adjust over the following few years.
1. if a firm best computer buys requires its customers to buy software from it whenever the customers purchase a
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