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Since the beginning of the COVID-19 pandemic, many firms were forced to reduce production or close all operations. Due to this, a large number of firms were force to close down.
Discuss the impact on the equilibrium wage rate and the equilibrium level of employment if the number of employers in the market decreases
Brian has the utility function U(X,Y)= X+16sqrt(Y), where X is the quantity of water consumed, and Y is the quantity of coffee consumed. Let the price of water be Px=1 and the price od coffee be Py=4. Let I represent income. (a) If I =8, what are the..
Suppose that inflation in Australian was expected to equal 6 per cent in 2015, but prices rose by only 3 per cent. How would this unexpectedly low inflation rate help or hurt each of the following?
The manufacturer of Brand A automobile tires claims that its tire can save 110 gallons of fuel over 55,000 miles of driving, as compared to a popular competitor (brand B). If gasoline costs $4.00 per gallon, how much per mile driven does this tire sa..
Suppose an economy gets into a liquidity trap. If the central bank manages through 'forward guidance' to persuade everyone.
You can ask anyone the question. What would you rather have? Inflation? Or being unemployed? The resounding answer would be from everyone that they would rather be employed with a higher inflation than no job and a higher inflation rate.
What is the supply curve, how do you apply the law of supply in economics?
Daniel deposits $20,000 into an account earning interest at 6% per year compounded quarterly. He wishes to withdraw $400 at the end of each month. For how many months can he make these withdrawals?
In detail, please describe the effect that changes in business taxes, personal income, and transfer payments have on a country's gross domestic product (GDP).
Suppose that an individual's demand for the number of physician visits per year, Q, can be represented by the following equation: Q=5-0.40P, where P, the market price of an office visit, equals the marginal cost of $100. Determine the efficient numbe..
Fuji is the sole manufacturer of racing bikes, and the cost of manufacturing is, so that the marginal cost is. Demand for racing bikes is characterized by.
A firm uses labor and capital to produce output according to the production function q=100KL, where L is the number of units of labor used and K is the number of machines. What is the marginal product of labor. What is the marginal product of capital..
Find a firm that you believe has achieved economies of scale in recent years. Given the determinants of economies of scale (labor specialization, managerial specialization, efficient capital, etc.), which determinant do you believe is most responsibl..
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