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1. Suppose Jane buys only two goods X and Y , and she spends an income I on these two products. Suppose the price of X is px and the price of Y is py. She derives utility by consuming X and Y. The amount of utility she gets by consuming x units X and y units of Y is given by the utility function U(x; y) = xy.
2. Determine her demand curve for X.
3. How would your answer change if her utility function is U(x; y) = x + 2y?
Julia must select between two different designs for preventing closure, which will be in use indefinitely. Model 1st has a life of 3-years and cost of $8000, and maintenance of $1000 every year.
How do individual firms in a perfectly competitive industry respond to an increase in the market demand for the product? Would advertising by individual firms in this type of market provide any benefits?
If a representative firm with total cost given by TC = 20 + 20q + 5q2 operates in a competitive industry where the short-run market demand and supply curves are given by QD = 1,400 - 40P and QS = -400 + 20P, the number of firms operating in the sh..
If the government chooses to distribute the permits, does the allocation of permits among firms matter for efficiency? Does it matter in any other ways?
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A local finance company will loan $10000 to a homeowner. It is to be repaid in 24 monthly payments of $499 each. The first payment is due 30 days after the $10000 is received. What interest rate per month are they charging?
If countries can benefit with increasing their consumption possibilities through trade, why do so many countries place restrictions on trade?
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The government must hold a referendum before any public good is produced. B) The government has to facilitate the collective decision making in the production of public goods. C) The government must force the firms to produce all the public goods...
wyandotte chemical company sells various chemicals to the automobile industry. wyandotte currently sells30000 gallons
A bus ticket between two cities costs $50 and the trip will take twenty-eight hours, whereas an airplane ticket costs $300 and takes three hours. Mary values her time at $12 per hour
Discuss in general the appropriate metrics that one may require to track. Also explain how investing in IT with an eyes towards the replacement or automation of another project or issue or task may work.
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