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Firm A makes and sells motor cycles. The total cost of each cycle is the sum of the costs of frames, assembly and engine. The firm produces its own engines according to the cost equation CE = 250,000 + 1,000q +5q2
The cost of frames and assembly is $2,000 per cycle. Monthly demand for cycles is given by the inverse demand equation:
p = 10,000 - 30q
Calculate the MC of producing an additional engine. Calculate the MC of producing an additional cycle. Find the firm's profit maximizing quantity and price.
Illustrtae what are the total fixed costs - total variable costs, and total cost of the lab given its current capacity.
The amount that the government raises from the inflation rate tax is ΔM. (ΔM = change in money stock or the printing of more money or the change in the amount of money today from yesterday). Write ΔM as a fraction of nominal GDP.
1. The marginal revenue curve for a perfectly competitive firm is ___________.
Cool-Aire Corporation manufactures a line of room air conditioners. Its break- even sales level is 33,000 units. Sales are approximately normally distributed.
Initially, an economy is in? long-run equilibrium with a real GDP of? $4 trillion. Suppose that increases in marginal tax rates on wages reduce the supply of l
In an effort to compensate for shrinking land-line customers, SBC and Bell South (owners of Cingular Wireless LLC) got into a building war with Vodaphone to acquire AT&T Wireless. If the buyout took exactly 1 year to close (i.e., end of year 1).
Calculate the inflation rates for the years ended June 2013 and June 2014. Explain how the inflation rate changed in 2014. What does it indicate on the price level?
Briefly explain what a government deficit is and then outline the methods the government has available to it for financing government spending programs. What effect on the monetary base do these government deficit financing options have on the mo..
Using a traditional game theory 2x2 matrix, show how this law prevents a prisoner's dilemma and thereby actually makes models better off. In other words, show what the game theory matrix looks like without this law.
The definition of a price maker is a firm with some power to set the price beacuse the demand curve for its output slopes downward, which is effect, means those firms with a downward sloping demand curve have have some market power.
Some fields have large enough quantities of both oil and natural gas that coordination must be achieved for the production of both, rather than oil a in our examples. Will fields with both oil and gas have greater difficulties in unitization than ..
Draw a bowed-out production possibilities curve (PPC or PPF) with an aggregate measure of medical services, Q, on the horizontal axis and an aggregate measure of all other goods (and services), Z, on the vertical axis.
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