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A firm has two variable factors and a production function y = (2x1 + 4x2) 1/2. Without taking any derivatives, determine the technical rate of substitution between x1 and x2.
Suppose that the demand curve (hundreds) for apples is given by Qd = 140 - 5P, where Qd is the number of pounds demanded per year and p is the price per pound. The supply of apples can be described by Qs = 40 + 5P, where Qs is the number of pounds pr..
In the specific-factors model, an increase in the price of the manufactured good will cause:
What are the main influences on the quantity of real money that people and businesses plan to hold? What does the demand for money curve show?
Suppose the price elasticity of demand for heating oil is 0.2 in the short run and 0.7 in the long run. If the price of heating oil rises from $1.80 to $2.20 per gallon, the quantity of heating oil demanded in the short run will by in the short run..
After reading about the Solow growth model, which concludes that continued economic growth requires continual innovation, and Schumpeter’s dynamic growth model, does the combination of these two models provide an adequate model of technological chang..
A person’s demand for gizmos is given by the following equation: q = 6 - 0.5p + 0.0002I. Where, q is the quantity demanded at price p when the person’s income is I. Assume initially that the person’s income is $40,000. Show your work/ calculations. w..
q.a company designs websites for clients. much of the work is done in-house but it finds that it must subcontract i.e.
In a competitive market, there are 8 firms, each with total cost given by: TC = Q^2 +100. Derive the firm’s long-run supply equation and the market supply equation. In the long-run, is the number of firms likely to increase or to decrease?
What is the programmed management approach in international marketing and advertising? How are Kraft Heinz, P&G, Nestle, and Starbucks are handing this?
Both the long-run aggregate supply curve and the short-run aggregate supply curve shift in response to changes in the availability of labor or capital or to changes in technology and productivity. A widespread temporary change in the prices of factor..
Suppose that the government increases taxes and government purchases by equal amounts. What happens to the interest rate and investment in response to this balanced-budget change? Does your answer depend on marginal propensity to consume?
The annual maintenance cost is estimated to be $100K. A major renovation at a cost of $50M is required every 100 years. What is the capitalized cost of the bridge at an interest rate of 5%?
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