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Question1: A potential entrepreneur is trying to make a decision whether to open a new health spa. She presently makes $35,000 per year as an aerobics instructor and will have to give up this job if she opens the new spa. If she chooses to open spa, it will cost her $200,000 per year in rent and other operating expenses.[a] Determine her accounting costs?[b] Determine her opportunity costs?[c] How much would she need to make in revenues to earn positive accounting profits? Positive economic profit?[d] If a firm makes positive economic profit it means that the firm earns normal profit. True or false? Comment.
Question2: 4. Production function specifies the maximum output that can be produced given varying degrees of technological progress. True or false, explain.
The government did nothing to stem the decline. From the point of view of economic policy, elucidate what would you think was the reason.
Explain these concepts address Google's opportunities and problems. What are some political and economic policies affecting Google and how do they influence decision-making.
Explain how does classical economics elucidate its confidence in the ability of natural forces to return the economy to its potential level of real GDP?
Explain the 4-broad categories of GDP using consumption approach. Give explained account of each component and determine the Natural Rate of Unemployment.
Elucidate the impact of inflation on salary rates and employment.
Elucidate how might raise the chance that the employee would retire earlier as compared with the situation where the employee had to pay for his own health insurance.
Determine what are some of the sources companies can turn to for venture capital funding?
What is the growth rate of nominal GDP in the economy?An adverse supply shock raises the inflation rate associated with every output ratio by 3 percentage points. Draw the new short-run Phillips Curve.
Illustrate what firm dominates the beer industry. What demand and supply factors have contributed to fewness in the industry.
Explain and discuss the mechanisms by which this has occurred, and contrast our experience with: a) the recent performance of many NICs (newly-industrializing-countries) in the last few decades
Assume Smith owns and works in a bakery located next to an outdoor cafe owned by Jones. The patrons of the outdoor cafe like the smell that emanates from the bakery.
If the indurtry can pay only one of the six salary levels shown, which should it choose? How many workers will it employ?
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