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Classify the following utility functions as risk averse, risk neutral or risk seeking and draw the relevant diagrams
a. U= I1/4
b. U= I2
c. U = 4I
What are the firm's fixed costs? What is the firm's marginal cost? Now suppose other firms in the market sell the product at a price of $10.
For this assignment you will write a 500- to 700-word memo evaluating two conflicting consultant reports. Your report should.
If velocity is unchanged and the money supply grows by 13% and the real GDP grows by 4%, what is the rate of inflation?
Obtain the market clearing price and quantity. Under the assumption of profit and maximization , how much output should the representative firm produce?
The Wozniak Corporation, a maker of aircraft engines, determines that in 2008 the demand curve for its product is as follows-What is the price elasticity of demand if price equals $500?
Find out an article which is related to health economics from health journal. Some possible sources include Health Affairs
You are a pricing manager at Argyle Inc. - a medium-sized firm that recently introduced a new product into the market. Argyle's only competitor is Baker Company, which is significantly smaller than Argyle.
The ten firms have banded together to form a cartel, and the cartel sets the monopoly price. The cartel agreement limits each firm to an output of one-tenth of the total amount demanded at the cartel price.
Answer the next three questions on the basis of the following production possibilies data for Francia and Galacia. All data are in tons.
Calculate total factor productivity growth (our measure of technological progress) for each country using the growth accounting framework discussed in class.
Suppose planned investment falls by 100. Graphically illustrate using the AE-Y graph the effects of this reduction in planned investment on the economy. Also calculate the new equilibrium level of income.
In the 1970s people had become accustomed to high inflation. In 1979, Bank of Canada decided to fight inflation and decreased the money supply growth rates.
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