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A manufacturer of a product reports that the marginal product of labor is 10 units of output per hour of labor and that the marginal product of capital is 2 units of output per unit of capital. the price of labor is $20 and the price of capital is $4. Determine whether the mix of labor and capital is opitmal. That is, indicate whether the ratio of capital to labor should be increased, decreased, or remain unchanged, Justify your answer quantitatively.
The price demand function for 100 packs of whiteboard erasers is x = (360-4p)1/2. p is the price of one 100 pack of erasers. What is the elasticity of p = $18? Is the demand elastic, inelastic, or unit elasticity at this price? What price should the ..
Presently, boats rent for $500 per day also workers cost $100 per day. How many workers do you need to produce 200 tons of shrimp?
Two methods of filling cereal boxes are being compared. Both methods fill the box with the same amount of cereal on average so the company wants to select the method with the lower variance. In a sample of 31 boxes filled using method 1, the standard..
q1. edison electric companys president has been arguing that residential electric rates need to be raised relative to
Compute the amount of the natural employment deficit in terms of both billions of dollars and as a percent of natural real GDP.
Visit the Bureau of Labor Statistics for state employment also unemployment.
Colleagues, assess and explain a major trade regulation or policy of the United States (please choose a regulation or policy other than one already discussed by your classmates). What purpose(s) does the regulation or policy serve?
What is total savings in the nation as a percentage of GNP? What is the current account balance as a percentage of GNP? Is there a current account surplus or deficit?
Recently the stock market reacted positively to Janet Yellen’s comment. She had stated that due to the underlying economic weakness abroad and susceptibility of the US economy to such weakness the fed was not going to increase the interest rate as ra..
Use a graph to show the impact on the price of Japanese cars sold in the United States if the United States imposes import quotas on Japanese cars. Now draw another graph to show how the change in the price of Japanese cars affects the price of Ameri..
At the Bretton Woods Conference in 1944, two proposals were made to manage international payment imbalances: (1) Keynes’ International Clearing Union (or Bancor plan) and (2) the United States’ plan (International Monetary Fund). How were these plans..
Future value of an annuity Your client is 36 years old; and she wants to begin saving for retirement, with the first payment to come one year from now. She can save $5,000 per year; and you advise her to invest it in the stock market, which you expec..
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