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Suppose that the manager of a firm operating in a perfectly competitive market has estimated the average variable cost function to be:
AVC = 4.0 - 0.0024q + 0.000006q2
Fixed costs are $500. If the forecasted price of the firm’s output is $5.00, how much output will the firm produce in the short run (round to the nearest unit)? Profits?
Technological innovation and or improvement is very critical to business growth and competitiveness. Given the four main types of market structures discussed, under which market structure is technological improvement most critical?
How does the concept of capabilities to function' help us gain insight into development goals and achievement explain its contribution in measuring level of development.
what market form did the market for graduation regalia (a gown, hood and mortar board) at ANU most closely resemble before Mr. Liu started his UniGowns business?
What was your profit on 1 Short Call option (100 shares) with a $70/share strike price and a $4/share premium when the price at maturity was $82? How much profit did you make per share if you SELL SHORT at $38 and BUY TO COVER at $29. Your premium fe..
Two firms are located on the line and sell identical products. Consumers obtain K utility from consuming a product; assume that K is large enough that all consumers purchase from at least one of the firms despite the costs of transportation.
What is the equivalent uniform annual cost of one machine in years 1 through 7 at an interest rate of 7% per year?
Suppose the Council of Economic Advisors (CEA) hired you as an Economist (Economic consultant). The head of the council tells that she believes the current unemployment rate of 9 % is too high.
Natasha has been told that if she reduces the thermostat setting on the heating system at her home by 1 degree, she will be able to reduce her present annual energy consumption of 5,000 kWh of energy by 20%. What is the implicit cost of 1 kWh of ener..
Which of the following conditions may make predatory pricing by incumbents rational?
Florida Citrus Mutual, an agricultural cooperative association for citrus growers in Florida, needs to predict what will happen to the price and output of Florida oranges under the conditions below. What are your predictions? For each part, sketch a ..
Is the current Monetary Policy expansionary or contractionary? Why? What effect doe the Federal Reserve expect this policy to have on the US economy?
Illustrate what is the market elasticity of demand. What is your elasticity of demand in this Cournot oligopoly.
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