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Caroline has opened a new startup company in web design. Within the first month of business, the startup agrees to maintain an accounting firm’s website in exchange for someone doing their tax returns.
Which of the following principles of economic interaction best describes this scenario?
a. Markets allocate goods effectively.
b. When markets do not achieve efficiency, government intervention can improve overall welfare.
c. All costs are opportunity costs.
d. There are gains from trade.
Suppose the own price elasticity of demand for good X is -3, its income elasticity is -2, its advertising elasticity is 3, and the cross-price elasticity of demand between it and good Y is -5. Determine how much the consumption of this good will chan..
What is the discrepancy between net benefits and the benefits cost ratio? That is, typically why is the maximization of net benefits the same as the maximization of the benefits cost ratio?
Find out the marginal revenue also the marginal cost functions and show them graphically. Find the monopolist's price, output, profit, and the price of the cost margin.
If the European Central Bank increases interest rates, the demand curve for European euros shifts rightward and the supply curve of European euros shifts leftward.
llustrate what is maximum amount it would be worth to shareholders to elicit high CEO effort all time rather than low CEO effort all time.
The Circular Flow diagram is model of how the economy works. Explain how the model would change if the following events ocurred:Households increase savings.
A purely competitive firm finds that the market price for its product is $30.00. It has a fixed cost of $100.00 and a variable cost of $17.50 per unit for the first 50 units and then $35.00 per unit for all successive units. What is the average varia..
Using the IS-LM model derive graphically derive the aggregate demand function. Fully explain each step of your derivations.
Explain why are changes in inventories included as part of investment spending
Illustrate what is the basic objective of monetary policy. What are the major strengths of monetary policy.
q1. discuss about the effects of the economic crisis of 1997 on the korean society and business.q2. explicate explain
How does the Average Total Cost (ATC) of the mines in Canada compared to the ATC of the Alabama mines? Sketch the ATC and Marginal Cost of the whole company (include all mines in the graph, the graph has to be approximate, it should give an idea of h..
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