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Which of the following is the best example of a consumer good? 1. the riding lawn mower purchased by the landscape company. 2. the disposable diapers purchased by the new mother for her baby. the paint purchased by the prison 3. the cookies purchased by the eldercare center 4. the art supplies purchased for the high school art center.
What desire to purchase does not vary with time. Ignore the time value of money and compute the optimal pricing scheme of the iPhone.
A no production economy has 2 consumers (A and B) who each consume two different goods (x and y). Person A is endowed with (120,270) and has a utility function Ua(Xa,Ya)=X^(2/3)Y^(1/3). The initial endowment, the IC that go through the initial endowm..
A researcher is using data for a sample of 274 male employees to investigate the relationship between hourly wage rates Yi (measured in dollars per hour) and firm tenure Xi (measured in years). Preliminary analysis of the sample data produces the fol..
Discuss the main points of chapter 11-New Classical Economics. How does New Classical Economics (rational expectations) differ from the original Classical Model? How does New Classical Economics differ from the Keynesian position?
An industry consists of a dominant firm with costs C(Qd) = Qd and 8 identical fringe firms, each with costs c(q) = 1 + q^2. Market demand is Q = 20 - p. What is the supply schedule for a fringe firm in the long run? Sketch the supply. (You would need..
Suppose your firm produces electricity by burning coal. Currently it buys central Appalachia 12,500 BTU per ton coal at the market price of $52 per ton.
Describe what a manufacturer of each product might do in the short run to increase production.
Assume that the market for wheat is perfect competitive, with demand curve P = 5000 ? 0.01QD and a supply curve P = 1+0.1QS. Each identical wheat producer has a total cost curve given by TC = 1+Q+Q2 , which results in marginal cost of MC = 1+2Q. What..
The foregone value associated with the correct rather than the next best use of a given asset is called" a.) Opportunity cost b.) replacement cost c.) historical cost d.) currect cost What is the correct answer
You have decided to purchase a large screen TV and the Rent to Own store. The TV would cost $1,200 but you will be making payments of $150 a month for a year. Assuming your MARR is 22%, compounded monthly, what is the present worth of this purchase?
Assume we have a Hecksher-Ohlin model. There are two countries (US, Mexico) producing two goods (Ipads (I), Jeans (J)). Assume I is relatively capital intensive in production and the Mexico is relatively capital abundant (it’s possible). Answer all o..
For a particular year, a company has gross annual income of $780,000, annual expenses of $270,000, and allowed depreciation of $60,000. The company is located in a state where the first $200,000 corporate income is tax-free, and any income above that..
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