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With the following supply and demand,
Demand: P = 35 - 0.5Q
Supply: P = 8 + 0.25Q
Calculate the equilibrium price, equilibrium quantity, consumer surplus, and producer surplus. Provide a graph and label the areas of consumer surplus and producer surplus.
Sketch a diagram that illustrates what happened to the Bridgewaters' budget constraint. Could they have been made worse off by the change.
In which of the following market structures is a firm most likely to advertise extensively and fear entry of new firms?
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A firm currently uses 100 workers to produce 200 units of output per day. The daily wage (per worker) is $80, and the price of the firm's output is $50. The cost of other variable inputs is $600 per day. The firm’s fixed cost is 8,000. The marginal c..
Suppose that an economy’s production function is cob-douglass with CRS(Y=AK^α * L^1-α ) and α=.3. What fractions of income do capital and labor receive? Suppose that the capital stock decreases by 15 percent. How much does output increase or decrease..
Consider an industry with inverse demand: p (y) = 90 − y where y denotes industry output. There are two firms: firm 1 is the incumbent firm and firm 2 is the potential entrant. Firm 1 can adopt one of two technologies. Suppose firm 1 adopts technolog..
Suppose the government imposes a price floor of $35, and agrees to purchase and discard any and all units consumers do not buy at the floor price of $35 per
write a paper addressing the following questions and reflections.part a stakeholders amp interrelationships 1. describe
The Lost Mountains of northern Iowa are inhabited by the rare Marshallian deer. Patches of grass are far apart in this rugged land. If a deer finds a fresh patch of grass and spends h hours grazing it, it gets y = √ h units of grass. The deer compete..
A firm produces output according to a production function: How much output is produced when K = 2 and L = 3? If the wage rate is $40 per hour and the rental rate on capital is $20 per hour, what is the cost-minimizing input mix for producing 4 units ..
You are a Network Engineer for an IT consulting company. Your supervisor has tasked you with designing a network for your company's newest client. The client business details are as follows:
A monopoly has a demand curve of D (p)=150-3P. If marginal cost is equal to 2, what is the profit maximizing quantity?
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