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Discussion 1.
Explain the effects of low price-guarantee on the price.
Discussion 2.
Give reasons, when average cost increases as the total output increases for an increasing cost industry.
1. Which is the correct formula for the total cost of production?Note: TC is total Cost, AFC is average fixed cost, AVC is average variable cost, MC is marginal
What is the probability 4 trains pass in a 6 our period? Round to 3 decimal places?
Illustrate what is the industry's profit maximizing output level. Is the organization in long-run equilibrium.
[Monopoly] Consider the following monopolists that face nonlinear demand functions. (a) Suppose a monopolist faces a demand curve of Q= e^100-p, and has costs C(Q) = 4Q x In (Q). Solve for equilibrium quantity and price.
It is impossible for a price change to cause no substitution, income, or toal effects. If you believe the statement is false, sketch a graph demonstrating how a price change could cause no substitution, income, or total effects. A large pharmaceutica..
What do Gordon and Goldin mean by the” great compression”? When did it occur? Has it continued? Can you give a reason for both events? What are the implications that Gordon highlights in terms of productivity?
How you would assess whether a firm has an effective versus ineffective supply chain? Explain one example of a firm with an effective supply chain and one with an ineffective supply chain.
Consider the expectations theory (of the term structure) with a term premium. What is the interest rate on a 5-year bond today if the term premium for a 5-year bond is 2% and 1-year interest rates are expected to remain constant at their current leve..
All firms in a competitive industry have long-run total cost curves given by LTC(Q) = Q3 – 10Q2 + 36Q where Q is the firm’s level of output. What will be the industry’s long-run equilibrium price? What will be the long-run equilibrium output level of..
Using the T-accounts of the First National Bank and the Second National Bank, describe what happens when George Clinton writes a $50 check on his account at First National to pay his friend Bernie Worrell, who in turn deposits the check into his acco..
Describe how the consumer price index and the inflation rate are calculated. Why is it thought that the consumer price index, as presently calculated, overstates the rate of inflation?
Write 3-4 paragraphs pertaining to the theme below, be detailed on your work: The nuances and intricacies of nineteenth and twentieth century political and economic ideology The relationships among war, economics, and politics in twentieth century Eu..
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