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A TV manufacturing company estimates that when TVs are sold for x dollars a piece, consumers will bu 8000/x TVs each week. The company also determines that profit is maximized when the selling price x is 1.4 times the cost c of producing each unit. Assume that c is constant. Calculate the price that maximizes the weekly profit. How many units are sold each weak at the above optimal price? Calculate the cost c of producing each unit.
Now that we have learned that the Short-Run Phillips Curve (SRPC) shows the trade off between inflation and unemployment at the given natural unemployment rate and expected inflation rate, discuss which is worse, too much inflation or too much unempl..
Give reasons to elucidate what the government would have to do to keep the unemployment rate at 3 percent.
Describe the process in the money market (demand and supply of/for money) by which the interest rate reaches its equilibrium value if it starts above equilibrium. (Principles of Macroeconomics)
Which of the following ideologies emphasizes liberty on economic issues and traditional values on social issues?
Consider an infinitely repeated Cournot duopoly with discount factor ? 0, and inverse demand functions p(Q)=a-bQ, with a>c and b>0. Find the condition on the discount factor, ?,for which the two firms could successfully collude over the monopoly outp..
Elucidate the dividend yield for each of these four stock. What is the expected capital gains yield. Discuss the relationship among the various return that you find for each of these stocks.
Explain why some developing countries have a "fear of floating" and opt instead for a fixed exchange rate regime. What are the risks inherent in this decision?
How Disney dealt with the Principal - Agent Problem: In 1984, the Walt Disney Company brought in Michael Eisner, a Paramount executive as CEO. The firm's board of directors agreed to pay Eisner a salary of $750,000, plus a $750,000 bonus for signing ..
Principle theory of management
You take $1000 you had kept under your mattress and deposit it in your bank account. If this $1000 stays in the banking system as reserves and if banks hold reserves equal to 20 percent of deposits, by how much does the total amount of deposits in th..
In the neoclassical growth theory, differences in per capita income are determined by differences in the
What are the main causes of international financial crises? How can they be resolved? How can they be prevented?
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