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Suppose the demand curve for a monopolist is QD=500-P and the marginal revenue function as MR=500- 2Q The monopolist has a constant marginal and average total cost of $50 per unit
a. find the monopolist's profit-maximizing output and prices.
b) calculate the monopolist's profit
Illustrate and fully explain using an example of relevant cost (a cost whose value does affect the optimal decision) and an example of irrelevant cost (a cost whose value does not affect the optimal decision) to the business regarding this decisio..
Suppose Japan agreed to a voluntary export restriction which reduced US imports of Japanese steel by 10 percent. What would be the likely short-run effects of that VER on the U.S..
A well-known conglomerate that manufactures a multitude of noncompeting consumer products instituted a corporate-wide initiative to encourage the managers of its many divisions to share consumer demographic information.
The government imposes a fixed fee per year on each firm operating in a competitive market.
The energy Department estimates that domestic demand for natural gas will grow by more than 40 percent between now and 2025. Distinguish between a demand function and a demand curve.
Elucidate how banks and individuals can use "covered interest arbitrage" to protect themselves when they make international financial investments.
Suppose that in 1984 the total output in a single-good economy was 10,000 buckets of chicken and the price of each bucket of chicken was $10. In 2005 the price per bucket of chicken was $20 and 25,000 buckets were produced.
Draw the short-run tradeoff between inflation and unemployment. How might the Fed move the economy from one point on this curve to another?
Elucidate the significance and implications of various economic theories pertaining to profit, consumer choice, demand and supply, forecasting and optimization.
Suppose that the Home country in the two-sector (manufacturing and agriculture) specific-factors model has a comparative advantage in agricultural output. What will happen to the real rental price of capital when trade occurs
Would you assume this as an externality, and if you do, what would you suggest be done about it.
Explain how sensitive do you think your organization is to economic expansions upswings and contractions.
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