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Economies of scale exist whenever long-run average costs
A. increase as output is increased.
B. decrease as output is increased.
C. remain constant as output is increased.
D. none of the statements associated with this question are correct.
Provide details on the fiscal policies between 2000 and 2010 and examine how they were related to macroeconomic issues at the time.
Suppose the demand curve for a product is given as Q = 10 – 2P + Po where P is the price of the product, Po is the price of another good, and Q is the quantity demanded. Assume the price of the other good is $2.00. a. Suppose P = $1.00. What is the p..
Suppose the economy has a natural rate of unemployment of 6%. Suppose short-run output over the next 4 years is +1%, 0%, -1%, and -2%. According to Okun’s law, what unemployment rates would expect to see in this economy?
Suppose a bank with a 25% reserve requirement has $50 million in reserves and $200 million in checkable deposits, and one of the bank's depositors, a major corporation, writes a check to another corporation for $5 million. The check is deposited in a..
If the growth rate of the money supply is 6?%, velocity is? constant, and real GDP grows at 4?% per year on? average, then the inflation rate will be what %? If the growth rate of the money supply increases to 18?%, velocity is? constant, and real GD..
Briefly analyze in terms of supply and demand the effects upon the given market of the following events. Are these changes a shift in the demand curve, a shift in the supply curve, a movement along the demand curve, or a movement along the supply cur..
What are price floors and price ceilings? How could a business maintain its level of profitability if forced to accept price ceilings? Use a business in your response. For example, a coffee shop could ... Please do not use a coffee shop in your examp..
you estimate that the price elasticity of demand for clinic visit is -0.25. you anticipate that a major insurer will increase the copayment from $20 to $25. This insurer covers 40,000 of your patients, and those patients average 2.5 visits per y..
Developing countries often claim that growth and trade have left them no better off or perhaps worse off. How might you explain this result theoretically? Could this result obtain if the countries tended to be relatively small? Why or why not?
An electricity industry contains two generating firms, one of which has marginal cost= $2.50 and the other of $1.50; the demand curve is Quantity=40-4*price. Quantities are in MWH and price are in $/Mwh. Very low production cost! Find cournot Equilib..
An insurance company offers protection against theft or loss of credit cards. The insurance company will insure a credit card holder against all costs incurred for any credit cards (regardless of the number of cards) lost or stolen during the next th..
Movie theaters often charge different ticket prices for different times of shows; so is the movie theatre a monopoly that practices discrimination? What about the concession stand inside the theater?
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