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Assume you are the plant manager for Bravo Pork Rinds, which produces pork products in a market that approximates perfect competition. Due to a slow economy, business has been slow and you are losing money every month. The owners have asked you whether to continue operations or to shut down at least until the economy improves. You have the following information available:
Marginal Revenue (MR) = $105Total Cost (TC) = $1,200 + 135Q 0.6Q2Marginal Cost (MC) = 135 Q
As the plant manager, should you recommend to the owners that the plant be shut down for a while? Justify your answer using at least two techniques and presenting the information graphically.
How much revenue does McBurger currently earn based on the information above and is McBurger maximizing its revenues
What would each of the following events do to the terms of trade of the importing country and the exporting country, other things being equal?
Suppose that the most popular car dealer in your area sells 10 percent of all vehicles. If all other car dealers sell either the same number of vehicles or fewer, what is the largest value that the Herfindahl index could possibly take for car deal..
how can an economy that is below its potential output level attain equilibrium at potential output and shift the aggregate demand schedule to the left?
How a competitive market arrives at equilibrium and why the price of tomatoes has risen - Discuss the factors that affect the price elasticity of demand as they apply to tomatoes and make a suggestion based on your appraisal as to the likely price..
The cost of labor goes down, the profits of firms will increase, and short-run aggregate supply will shift to the right.
Outline a micro-economic reform issue that is relevant to the Australian economy market and how successful do you think these reform measures were and say why referring to some data or research that has been performed.
Write a critical commentary on the Stern review on climate change from the perspective of African nations. You can use case studies of one or more African nations.
Consider the following problem: There are two generators in this system and there is a load of 1,000MW. There is only one node in this network.
Estimate the monthly payment if the car is purchased with a $15,000 down-payment and estimate the down-payment required to keep the monthly payment at $550
The technology is now expanding so that road use can be priced through computer. A computer in surface of the road picks up a signal from your car and automatically charges you for use of road.
What will be the equilibrium price? What will be the equilibrium output for the industry? For each firm? What will profit or loss be per unit? Per firm? Will this industry expand or contract in the long run?
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