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Given the production function Y = 10K^0.4N^0.6
1) Using the concept of the differential, determine the effect on output of two additional units of labor when K = 8, N = 20
2) Using the concept of the differential, determine the effect on output of two additional units of capital when K = 8, N = 20
Would a shift in demand have a greater effect on the percentage change in equilibrium quantity for a straight-line supply curve that intersects the quantity axis or the price axis? a. Quantity axis because supply will be more elastic. b. Price axis b..
List and explain any externalities in consumption that exists for kindergarten through 12th grade education. Use caution in your economic reasoning and Analysis, and take care in the use of graphical display.
A sample of human resource executives was asked how their company planned to change their work force over the next 12 months. a categorical response variable showed 3 options: add employees, no change, lay off employees.
q.amazon instant video charges 4 per movie rental per day. if your demand curve for movie rentals is given by p 16-3q
When banks hold excess reserves, they: a) increase the amount of loans to the public b) reduce the actual money multiplier c) increase the money supply d) increase the reserve requirement
Considers a consumer who suddenly changes her preferences with regard to air travel,
Assume that two firms sell differentiated products and face the following demand curves: = 15 − + 0.5 and = 15 − + 0.5. Derive the best response function for each firm. Do these indicate that prices are strategic substitutes or strategic complements?..
As an example of the straightforward use of the gradient conversion factors, suppose that certain EOY cash flows are expected to be $1,000 for the second year, $2,000 for the third year, and $3,000 for the fourth year and that, if interest is 15% per..
Graph the dynamically efficient market for two periods on one graph and graph the dynamically efficient market for each period on it's own graph. Suppose the government sets a price control equal to 20.
Three individuals have $1000 and identical preferences for gum, g, and cigarettes, s, as measured by the utility function U(g,s) = 10g0.9a0.1. The price of gum is $9 and the price of cigarettes is $12. What is the market surplus/shortage at a price o..
Soft selling occurs when a buyer is skeptical of the usefulness of a product and the seller offers to set a price that depends on realized value. For example, suppose you're trying to sell a company a new accounting system that will reduce costs by 1..
Consider the following mutually exclusive alternatives: Each alternative has a 5-year useful life and no salvage value. The MARR is 10%. Which alternative should be selected if one uses?
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