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Can someone explain the Lagrangian function? That is when to use it, how its used, and why we are using it. The topic is mean-variance portfolio choice.
The deadweight loss from a tax is equal to one half of: A. tax revenue multiplied by consumer surplus B. producer surplus multiplied by consumer surplus C. the decrease in quantity sold multiplied by the tax revenue D. the amount of the tax multiplie..
The each have 10 hours of time per day. Time is their only resource. (Drawing out their Production Possibility Curves might help).
Suppose that a monopolistic company faces the consumer demand curve. Find out the profit-maximizing quantity of the product.
Find the demand for L and R. Now assume that the price of right shoes increases. What will be the substitution eect from this price change? Explain.
Use the top information to complete the bottom table.
John lives for three periods. He is currently considering two alternative education-work options. Alternative 1: he can start working immediately, earning $100,000 in period 1, $110,000 in period 2, and $120,000 in period 3
Transparency International, an antibribery advocacy group, issues an annual ranking of countries based on how widespread corruption is around the world. Fast growing countries such as China and India rank highly in terms of being corrupt. Using the v..
If Blotto engages in standard pricing, what is the profit-maximizing price and quantity?
For a monopoly, the level of output at which marginal revenue equals zero is also the level of output at which
The initial impetus for the Food Drug and Cosmetic Act and the Pure Vaccine Act included:
Last year the Federal Reserve was buying treasury bonds at the rate of $85 billion a week. The Chair of the Federal Reserve has indicated that such policy is not going to continue this year. What was the purpose of these purchases? Once these purchas..
Given the production function Y = A and fixed values for the saving rate and depreciation, if productivity is growing at an average rate of three percent, and the labor input grows at two percent, there is a unique growth rate of capital that is sust..
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