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Find the point elasticity of demand, given Q = k/p^n, where k and n are positive constants.
(a) Does the elasticity depend on the price in this case?
(b) In the special case where n = 1, what is the shape of the demand curve? What is the point elasticity of demand?
Find Sharon’s maximum first period utility. Consider only period 1 for now. Find Sharon’s optimal consumption and leisure as a function of w. Consider only period 2 for now. Now let us consider how w=2S links the 2 periods. Explain why Sharon would n..
A country is better off running a current account surplus rather than a current account deficit. Do you agree or disagree?
a) Calculate the "capital per worker" at the steady state b) Calculate the "output per worker" at the steady state
The monopolist from the previous problem now faces a specific tax of 20, τ = 20. What are the optimal quantity and price given the tax? Calculate the welfare loss from the tax.
In their path of economic development, are there any similarities? If so, what are they? Are there any differences? If so, what are they?
We are trying to value Tangled Up In Blue (TUIB) using the FCFF approach. TUIB has a strong brand name and is considered to be the leader in its industry.
Suppose the supply curve of medical services is perfectly inelastic. Analyze the impact of an increase in consumer income on the market price and quality of medical services. Next, assume the demand for the medical services is perfectly inelastic whi..
Does this model of coverage afford well or poorly with the model of demand for insurance set forth? What should we conclude from this?
Think about the confectionery category (candy, gum, and mint) and then choose a product within that category. There are many products available in stores within this category for us to consider purchasing. Describe the channel strategy that would be ..
Of course it is a generalization but we are trying to examine its relevance to management theory and practice. The best practice is to formulate your reply in a Word document and upload it here. A one page answer, more or less, should do it.
Research a government policy implemented during that time and discuss the multiplier effect it had on the economy.
When a 20% change in price causes a change in quantity demanded less than 20%, demand for the product is.. When a firm decreases the price of its own product and finds its total revenue to increase, then
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