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Suppose that a monopoly is producing at an output where its average total cost of production is minimized and equals $50 per unit. If marginal revenue equals $60, is the monopoly producing at the profit maximizing output level? Explain why or why not?
A recent report indicatesthat nearly 50 Americans contract HIV every year through blood transfusions. Although every pint of blood donated in the United States undergoes a battery of 9-different tests,
Compute HHI for both industries. 3. Which industry is more concentrated according to 4-firm concentration ratio? 4. Which industry is more concentrated according to HHI? 5. Which of these measures (HHI and four-firm concentration ratio) can be a..
Citrus Speculation and Forecasting, Inc., has been recruited by a private consortium of orange growers to predict what will happen to the price and output of oranges under the conditions below.
Assume you are a stock market analyst specializing in the stocks of theme parks, and you are examing Disneyland's stocks.
Assume that Jim goes to work at age twenty-five, earns an average $40,000 a year for 40 years. He inherits $320,000 when he starts working. He expects to live to be 75.
Suppose that in response to learning that some sick individuals were denied health insurance, the government mandates that insurance companies must offer insurance to everyone at unregulated rates.
If output totals double, how would this influence the MC and AVCcurves? If the price of labor triples, how would this influence the MC andAVC curves?
Imagine that you are the Chair of the President's Council of Economic Advisors. You need to prepare a briefing for the president on the status of the economy. Write a 1-2 paragraph on how the economy is generally doing. (For instance, determine if..
The maintenance costs associated with an investment are $0 for the first 8 years and $ 700 per year thereafter. The investment has an infinite life. With interest at 9 % per annum, determine the present worth of the annual disbursements. ($)
Assume that an earthquake destroys part of capital stock. Forecast what will happen to total production, the real return to capital, and real wage.
Wednesday the price changed to 1.8275. Compute your profit-loss in USD on Tuesday and Wednesday.
Illustrate what are automatic stabilizers. What are some examples. What are your thoughts about the limits of fiscal policy.
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