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Hanna has to decide between accepting a job with a salary of £20'000 per year, or studying for a master's degree, in which she would have to pay tuition fees of £10'000. If she accepts the job she would have to relocate, incurring additional expenses of £5000. Anna's opportunity cost if she continues studying is £25'000.
Suppose all consumers are maximizing utility with convex indifference curves. All face the same prices, and are perfectly rational. According to microeconomic models,
Ashley works for McKennel and Associates, a large business consulting firm. ABC Company has developed, according to industry sources, a new process of building low-emission, high mileage gas engines for automobiles. XYZ, a competitor of ABC, hires As..
What is the effect of an investment on real assets on the value of the firm and why? How can we evaluate and compare projects with unequal lives? What is the risk on real investments and how can be measured? How important are statistics and computers..
If the cost of rare earth (a resource for producing smartphones) increases, then supply for Samsung smartphones will _____, and quantity will _____.
Suppose at current factor prices a country’s manufacturers use 60 hours of labor for each acre of land and food is produced using only fifteen hours of labor per acre of land. If the economy’s total resources are 1800 hours of labor and 180 acres of ..
Why might failure to specialize explain why Neanderthal groups in difference areas did not trade?
What is the solution to this assignment? Section two requires that you tabulate the results.
When prices are (P1, P2)= (1,2), the consumer demands (X1, X2) = (1,2). When prices are (Q1, Q2) = (2,1), the consumer demands (Y1, Y2) = (2,1). Is this consumer behaviour consistent with Weak Axiom of revealed preference ? Prove that elasticity of d..
Identify a good that you believe meets the criteria for an inferior good. Is this good an inferior good for all income levels or is there a range of income where it is a normal good?
The World of Videos operates a retail store that rents movie videos. For each of the last 10 years, World of Videos has consistently earned profits exceeding $38,000 per year. The store is located on prime real estate in a college town. World of Vide..
In your opinion, does the Houston Medical Center, in which many hospitals gather, represent an example of perfect competition, monopolistic competition, collusive oligopoly.
Also, Dean has a substantial amount of money saved up. Would Dean benefit from high inflation or low inflation? Explain your answer.
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