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Consider a profit-maximizing monopoly pricing under the following conditions. The profit-maximizing quantity is 40 units, the profit-maximizing price is $160, and the marginal cost of the 40th unit is $120. If the good were produced in a perfectly competitive market, the equilibrium quantity would be 50, and the equilibrium price would be $150. The demand curve and marginal cost curves are linear. What is the value of the deadweight loss created by the monopolist?
Classical economists struggled with the "Water-Diamond Paradox" which seeks an explanation for why water (which is very useful) has a low price, whereas diamonds (which are not particularly important to life) have a high price.
In classical macroeconomic theory, the concept of monetary neutrality means that changes in the money supply do not influence real variables. Explain why changes in money growth affect the nominal interest rate, but not the real interest rate.
Describe the relationship between costs and values in a society affected by externalities. Discuss the options that people and governments have to take account for their actions in these markets. Include comments regarding equilibrium and welfare dyn..
A new car dealer advertises financing at 0% interest over 4 years with monthly payments or a $3000 rebate if you pay cash. The car you like costs $12,000. What effective annual interest rate would you be paying if you financed with the dealer?
elucidate what economic factors may influence such behavior
Anti-poverty programs
Quantify cost savings associated with a cost-effective abatement allocation that could be achieved through trading. Illustrate what price must each tradable permit be set to achieve cost-effective solution.
Find out the curve for MR and use it to find the monopoly output and price. Calculate the output of a perfectly competitive market if the MC is the same as the market supply.
consider the production functionq 4k 34 l 14a. find the gradient of qb. find the hessian of qc. denote the initial
q. 1. what is a business organization?2. what is the most common form of business organization?3. define sole
Illustrate what additional information is needed for you to be able to compute the price elasticity of demand for DVD players.
When graphing a demand curve showing the effect of "news about the susceptibility of cellphone users to brain cancer" has on the demand schedule and curve for cellphones where would the "news about.." go on the graph, would that replace the price? If..
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