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Can leisure involve economic optimization? Should you choose an assortment of lei: activities within your budget of money and time that maximizes your well-being?
Suppose a monopolist can purchase Labor at a price w = 36 and can purchase Capital at a price r = 25. The monopolist's production function is given by Q = L1/2K1/2. The demand facing the monopolist is given by P = 180 - 3Q.
You are division manager at Toyota. If your marketing department estimates that the semiannual demand for the Highlander is Q = 100,000 - 1.25P, what price should you charge in order to maximizes revenues from sales of the Highlander
Assume that the officials in Ecoland have compiled the following information about their economy for last year.The government uses the following equation for the investment function The equilibrium real interest rate
For the same loan described under Q3, the individual decides that instead of selling the house after the 71st payment, to keep it and shorten the pay off period by increasing the montly payment by $150 each month. What is the number of months re..
Campus Bookstore is the only textbook supplier in the town, a profit-maximizing business. Assume that the marginal and average total cost for each book is $25. Customer Reservation Price Total Revenue Marginal Revenue A 70 B 65 C 60 D 55 E 50 F 45..
If the government wanted to reduce the trade deficit by altering the exchange rate, what sort of monetary policy should it employ? Explain.
A used car dealer advertises financing at 0% interest over 3 years with monthly payments. You must pay a processing fee of $250 at signing. The car you like costs $6000. a) What is your effective annual interest rate
Each statement in either true (in all cases) or false (for at least one example) If false, construct a specific example to show that the statement is not always true. Such an example is called a counterexample to the statement. If a statement is t..
The Price of Tattoos. According to a market expert, tattooing in your city is a constant-cost industry. The initial equilibrium price is $24.
Find the solution to the firm's short-run cost-minimization problem when capital is fixed at a quantity of 5 units (i.e., K = 5), and w = 1 and r = 1. Derive the equation for the firm's short-run total cost curve as a function of quantity Q.
You're playing Dungeons and Dragons, an old-school pen-and-paper role playing game. The game uses an 8-sided die, with the numbers 1-8 on each face. The probability of rolling each number is 1/8. What is the variance of one throw of the die
Given a numeric production schedule, the student will calculate profit and make decisions about short-run profitability to answer questions relating to their calculations.
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