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If I offer a free console to customers when they buy a game in my store, and a game and a console are complements, should the demand of the games increase?
The plane cost $1.5 million and, for depreciation purposes, is assumed to have a zero salvage value at the end of 5 years.
In 150-200 Explain the economic benefits of the Kyoto Protocol?
What global social interests or responsibilities, if any, do we have as consumers to the losers of globalization? Discuss and justify your postings and responses with other students in our course.
Four political candidates are deciding whether or not to enter a race for an elected office where the decision depends on who else is throwing his or her hat into the ring. If we assume that their choices are consistent with Nash equilibrium, who wil..
A student is first and foremost interested in beer and would be willing to forgo any quantity a milk for the smallest additional quantity of beer.
This problem focuses on the labor supply effects of taxes. Assume there is a worker (Cosmo) who has a utility function over money income m and leisure l is u(m, l) = √ ml. Cosmo chooses how many hours to supply to the labor market where h = 16 − l su..
A monopoly is considering selling several units of a homogeneous product as a single package. A typical consumer’s demand for the product is Qd = 100 - 0.25P, and the marginal cost of production is $140. a. Determine the optimal number of units to pu..
Fig. 17-2 in Froeb & McCann shows a decision tree for deciding whether to enter a new market. Because the expected value of entering ($1) was greater than the expected value of not entering ($0), the decision was to enter. Why might the decision make..
How to do inverse demand in business economics? The break down of marginal cost, marginal revenue within the supply and demand curve
Why is the equality of marginal revenue and marginal cost essential for profit maximization in all market structures? Explain why price can be substituted for marginal revenue in the MR=MC rule when an industry is purely competitive
Suppose an individual faces employment risk of the following form: Her employment is subject to business cycles in which she faces the risk of a layoff with probability 10%. When she is employed, she receives an income of $100. She earns nothing when..
What is your opinion of this economics course? Did it meet your expectations? What suggestions can you offer for improvement of this course for future students? Is there a downside to the global economy evolving to be based completely and wholly on t..
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