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1. Suppose Wave detergent is sold in a monopolistically competitive market. If the price of Wavedetergent is currently $6 and the ATC is $4, in the long-run we expect
a. The demand curve for Wave to shift to the leftb. The demand curve for Wave to shift to the rightc. The producers of Wave to go out of businessd. The producers of Wave to earn economic profits greater than zeroe. The producers of Wave to earn economic losses
2. In the long run, there will be no unexploited scale economies (excess capacity) in
a. competitive marketsb. monopolistically competitive marketsc. oligopoly marketsd. monopoly markets
3. A perfectly price-discriminating monopolist is able to
a. exercise illegal preferences regarding the race and/or gender of its employees.b. maximize profit and produce a socially-optimal level of output.c. maximize profit, but not produce a socially-optimal level of output.d. produce a socially-optimal level of output, but not maximize profit.
consider a bond that promises to pay 100 in one year.a. what is the interest rate on the bond if its price today is 75?
If the vave is left as it is, the probability of a failure of the valve seats, over the life of the project, is 60%; the probabiity of failure of the valve stem is 50%; a,d of failure of the valve body is 40%. If the valve is repaired, the probabi..
Find the future value one year from now of a $7,000 investment at a 3% annual compound interest rate.if the investment is made for 2 yeaars also calculate the future value.
"Pumping the price war is Borders Rewards, the loyalty program that Borders Group introduced at the start of the year. Members get weekly coupons via e-mail and a ‘personal shopping day' when they can save 10 percent on most purchases on a day of ..
How would you account for the great divergence that is acceleration of economic development in the West in 19th century while much of the rest of world remained characterized through low rates of economic growth?
Describe how companies use economic forecast to make economical decisions and how companies make important decision with so much economical unrest.
Several believe that wage inequality in the United States will generate shifts in labor markets such that gap between most highly skilled in the population and least skilled will start to fall in the near future.
Illustrate the following situations using supply and demand curves for money. No graph needed only state what will happen to the supply and/ or demand curves for money and what will happen to the equilibrium interest rate.
Describe the concept of economics of scale and how long run costs curves shape the economic structure of industries.
Jodie earns 25,000 atthe end of year 1,when the CPI was 460. If the CPI at the end ofyear 2 is 504, what would Jodie have to earn at the end of year 2to maintain a constant real wage?What would she ahve to earn in year 2 to obtain a 5% increasein her..
Suppose you have $7,000 in savings when the price level index is at 100.then what is the real value of your savings if the price level declines by 10 percent.
The demand for watermelons is highest during summer also lowest during winter. Yet watermelon prices are normally lower in summer than in winter.
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