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Question: A discriminating monopolist produces the output vector x with a single technology A and plant b and faces the opportunity of two distinct markets in which to sell her three or more products. Markets 1 and 2 are represented by the inverse demandfunctions p1 = c1 - D1x1 and p2 = c2 - D2x2, respectively, where D1 and D2 are asymmetric positive semidefinite matrices.
(a) Set up the appropriate primal specification for this entrepreneur assuming that she wishes to maximize profits. Explain every component of the primal problem.
(b) Derive the dual problem and give a complete economic interpretation.
If there is a constitutional requirement to maintain a balanced budget, then during a recession when tax revenues are shrinking, the government will have to implement
What is the future worth of each given series of payments?
Suppose that the demand for federal funds curve is such that the quantity of funds demanded changes by $160 billion for each 1 percent change in the federal funds interest rate. Also, assume that the current federal funds rate is at the 3 perce..
Suppose Humphrey starts out with four pounds of food and seven gallons of water, while Lauren starts out with eight pounds of food and five gallons of water. Draw an Edge worth box that shows all possible allocations of these goods, and plot the endo..
How many moles of oxygen must be placed in a 3.00 liter container in order to exert a pressure of 2.00 atmospheres at 25 C ?
What is the future worth of a series of equal monthly payments of $5,000 if the series extends over a period of six years at 9% interest compounded?
assume the economy is at short-run equilibrium and is in a slump. ceteris paribus what would you expect to happen to
explain the viewpoints of classical and keynesian economists. how did the economy that existed at the time of these
Pick three proposed flights and look for each one on two different travel websites. How do the search results differ? Do you seem to be getting an unbiased listing of the best flights?
Demand and Supply curves. The following relations explain demand and supply conditions in the wheat industry:
In what decades did labor unions gain the most members? Which of the following is not true about the theory of the dual labor market? Real wages have fallen since 1973 for all the following reasons except.
Explain the law of supply. Assume the role of a manager in auto tire’s company. What effect will each of the following have on the company’s supply of auto tires and what will you do with the sales of your product?
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