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Suppose that the market for some good is competitive and the demand curve can be written as Qd= 200 - 4P and the supply curve can be written as Qs= 20 + 2P
Suppose the income elasticity of demand for good X is 2, its own price elasticity of demand is -4, its advertising elasticity is 3, and the cross-price
How is the Federal Reserve Structured? What does the FOMC perform and how is it comprised?
Each truck cost $18,000 and has an expected life of 4 years. The trucks can each be sold for $2000 after 4 years. Using MACRS:
The stock market is considered a leading economic indicator. Should there be a specific percentage of federal spending that should be reduced such as 25% or 30%? Should there be any changes in tax policy? There are seven U.S. states that do not charg..
To produce these 8,000 specialty pizzas, the company incurred variable costs of $24,000 and a total cost of $40,000.
Consider a firm with market power that sells suits. The firm has two types of customers, A and B. There are five times as many type-A customers as there are type-B customers. Type-A customers are willing to pay up to $100 for a coat and up to $50 for..
Cost Minimization for Cobb-Douglas. Suppose the Acme Gumball Company has the production function of q=LK. Given that the MPL=K, MPK=L and MRT S=MPL/MPK. Part a-b, we are analyzing the impact of output on input choices. Suppose wage rate is w= $5 and ..
Please provide three explanations regarding why the aggregate demand (AD) has a negative slope according to the Keynesian model. Suppose that the aggregate supply (AS) is flat (i.e., a horizontal line and this may indicate the economy is operating un..
Right now the Federal Debt is over 17 trillion dollars. Why has interest rates stayed low even though the Federal Government continues to borrow more and more? Should there not be a crowding out effect caused by this level of Federal Debt? Do not for..
Assume that the job separation rate s is 0.01 (1%) per month and that the job finding rate f is 0.2 (20%) per month. What is the steady state unemployment rate for this economy? In the table from the previous scenario, how many periods does it take f..
A perfectly competitive market is described by the demand Q = 60 - 2P and the supply curve Q = 5P - 10.
What advantages do you envision in using this matrix in analyzing product lines? Have you used this tool before?
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