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Two companies produce the same item. The companies each determine their own output and the combined output of the two is sold at the market price. Company A has controls its costs better than its competitor, B. The demand curve is P=280-2(Q1+Q2) and the cost function is C1(Q1)=3Q1 and C2(Q2)=2Q2
Find out the followings
1) Marginal revenue for both,2) Reaction function for both,3) Equilibrium output,4) Equilibrium profits.
The following information describes a hypothetical economy (assume all numbers are in billion if necessary) Determine the value of the MPC of this economy?
Consider the following data on US GDP-What was the grwoth rate of the GDP deflator between 1999 and 2000?
Given an increase in spending of $1,000, and a Marginal Propensity to Consume of 80%, what would be the total increase in the GDP what would the Multiplier be?
Illustrate what do you think would be the effect of increases/decreases in the dollar's exchange value on the firm's profitability.
Physical capital, Natural resources, Human Capital and Technical Knowledge, should it be Government policy to subsidize the production or acquisition of all or these?
Suppose an economy only produces single consumption well. Consider permanent upward shift of production function. Graphically describe the effects on each of following:
As the manager of Pelican Point Financial Group, you are unable to determine whether any given individual is a high or low volume transaction investor. Design a self-selection mechanism that permits you to identify each type of investor.
Illustrate what is an investment schedule and how does it differ from an investment demand curve.
The discussion centers on how person or consumers would react during a period when a country's GDP growth rates.
Assume the new leadership in Congress decides to repeal some of the tax breaks granted to large businesses during the past several years.
Discuss wage determination in a labor market in which workers are unorganized and many firms actively compete for the services of labor.
Elucidate how the circular flow diagram also explain the interaction of households, government, and business.
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