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Suppose that a company produces output according to the following production function: Q=0.5L2
a) Define & calculate the marginal product of labor.
b) Define and calculate the average product of labor.
c) Represent marginal and average product of labor graphically on the back.
Evaluate the appropriate government role in K-12 education using the test of market failure. Specifically, determine whether private markets could work within a K-12 context, or if government is support necessary.
Why might EMS provisions for the extension of central bank credits from strong-to weak-currency members have increased the stability of EMS exchange rates? Why would the failure to create a unified EU labor market be particularly harmful to the prosp..
Suppose a country's government is concerned about growing inequality of incomes and wants to undertake a program that will increase the total earnings of the unskilled. Extending employer payroll taxes to all earnings over $117,000 per year and incre..
Elucidate reason for both wage and cost rigidities including policy implications for se rigidities. Would you conclude on se reasons suggested by New Keynesian economists as relevant to unemployment situation in South Africa.
Why would a country such as the United States, which can presumably produce everything it needs itself, choose to trade with other nations?
By specializing in the production of one good, a company is able to benefit from economies of scale which increases its revenue. Which of the following is an attribute of specialization
How can we measure the opportunity cost of producing a good? Using a bowed outward production possibilities curve between ice cream and hammers, identify graphically the opportunity cost of obtaining an additional hammer. Does economic growth elimina..
With the signing of NAFTA in 1994, the U.S.A., Canada, and Mexico entered into a trade agreement that had the potential to be much beneficial to all parties. Who was opposed to this free trade agreement? What were there reasons for being against it? ..
What features of the product cycle theory are at variance with the assumptions of the Heckscher-Ohlin model? How might the imitation lag hypothesis be incorporated into the product cycle theory?
Two brokers at Morgan Stanley: Bob and Simon are comparing their performance last year. Bob averaged a 19% rate of return on his portfolio, while Simon averaged a 16% rate of return. The beta for Bob’s portfolio is 1.5 while the beta for Simon’s port..
You need to borrow $10,000 and the following alternatives are available:-Pay $2983 at the end of each year for 5 years, starting at the end of the first year (5 payments total) On the basis of interest rate, what alternative is superior? Please draw ..
Less-Developed Countries (LDCs) are caught in a vicious circle of poverty. For output to increase, they must build up capital. To build up capital, they must save and consume less than what they are producing. How should developed-countries and inter..
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