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Question: A firm has current and future marginal productivity of capital given by MPK = 10,000 - 2K + L,and marginal productivity of labor given by MPL = 50 - 2L + K. The real price of capital is5000, the real interest rate is 10%, and capital depreciates at a 15% rate. The real wage rate is 15.
(a) Calculate the user cost of capital. Show your work
(b) Find the firm's optimal amount of employment and the size of the capital stock.
Why is it better to use the United Nations Human Development Index (HDI), rather than OP, to measure human's quality of life? .? marks) What are the imitations
Details a recommended plan of actions for the financial firm to enter and establish a subsidiary operation in the United Kingdom.
The number of parts produced per hour by a worker. when will she be at a maximum productivity.
How do automatic stabilizers work when Canada's economy is above its potential GDP?
In the short run, at a market price of $15 per shirt, this firm will choose to produce shirts per day. On the previous graph, use the blue rectangle (circle symbols) to shade the area representing the firm's profit or loss if the market price is $1..
Go to the internet and find a news article(s) published within the last month that discusses the following questions:
Using the formula, ((new price - old price)/old price), calculate the percentage change in price. Include a minus sign (-) if the percentage change in price is falling.
The sample mean and standard deviation are X =175 and s=30. Estimate the population mean with 90% confidence.
Assume that a monopolist has a demand curve given by P = 1500 - 4Q, and T C = 100 + 5Q2 with MC = 10Q. Calculate the dead weight loss. Calculate the producer surplus
A technology is invented that makes labor and capital perfect one to one substitutes in the production of Mint Chocolate Chip super High fat Ice-cream.
Suppose L= sM and s is a positive integer. How many cities will likely develop? Explain why. How does this depend on s?
Some companies resorted to produce such product to address the growing demand. It solves issues on what basic economic problem of the society?
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