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The manager of a national retailing outlet recently hired an economist to estimate the firm's production function. Based on the economist's report, the manager now knows that the firm's production function is given by Q = K1/2 L1/2 and that capital is fixed at 1 unit.
What is the maximum price of capital at which the firm will still make nonnegative profits?
Explain the concept of externality. What does it have to do with the efficient allocation of resources?
In article on the steel industry, The Wall Street Journal noted that as steel prices were falling, steelmakers were not cutting production
Explain why a monopolist will never set a price (and produce the corresponding output) at which the demand is price-inelastic.
Use diagram to describe how each of the following events affects the equilibrium price and quantity of pizza (draw a separate diagram for each event)
All semester we have been tracking the economy to discern where it currently resides along the business cycle and where it seems to be headed over the next 6-9 months.
The questions posed are broad and open ended so be careful to allow yourself enough research and planning time.
Tom earns $15 per hour for up to 40 hours of work each week. he is paid $30 per hour for every hour in excess of 40.
Assume the new leadership in Congress decides to repeal some of the tax breaks granted to large businesses throughout the past several years. What impact will the repeal have on the exporting of jobs to foreign countries? describe by using isoquant ..
Answer the following questions as these general questions pertain to the specific issue selected.The questions that you will cover with respect to your choice of broad social issue in the paper are given.
Those who advocate that the Federal Reserve target monetary aggregates usually argue that the Fed should not alter its monetary targets in response to temporary changes in macroeconomic conditions
Draw a current budget constraint for an assumed single mother (net of child care costs) who loves leisure. Draw the new constraint. Discuss the likely effects on labor force participation and hours of work.
What types of inefficiencies and/or externalities arise in each renewable resource case that interferes with sustainable and efficient management results?
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