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Consider a firm with constant returns to scale production. Suppose that MC = 4.
a) If all input prices double, what happens to MC?
b) Draw the supply curve for the firm.
c) How do profits respond to price?
Elucidate how production possibilities table or curve reflects law of increasing opportunity costs. Illustrate what do points along PPC recurrent (with respect to available resources).
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q.as per milton friedman business has only 1social responsibility to create profits as long as it stays within the
Explain the Law of Demand. What are their assumptions? What are demand curve shifters and what causes them to shift? What is market equilibrium? What might keep the market from moving all the way to that equilibrium point? “Price control can be more ..
What lessons should companies learn from Siemens’ reliance on bribery?
Old Economy Traders opened an account to short sell 1,300 shares of Internet Dreams at $46 per share
Golshan company purchased a robot costing $320,000 in year 0. The robot is classified as a seven-year MACRS recovery property. If the robot is to be sold after five years, compute the amounts of gain or losses for the following three salvage value, a..
For each of the following decision-making problems, determine whether the problem involves constrained or unconstrained optimization; what the objective function is and, for each constrained problem, what the constraint is; and what the choice variab..
An business development executive travels extensively for business. Her company offers two options to offset her driving expenses. Option 1 provides a car allowance of 490 dollars per month and a mileage reimbursement of $0.34/mile for fuel, insuranc..
q. consider an economy where consumers utility function is given as uclc-12l2 . where c is consumption and l is labor.
Alice and Betsy are playing a game in which each can play either of two strategies, leave or stay. If both play the strategy leave, then each gets a payoff of $300. For which values of C and/or D is the outcome (leave, leave) a Nash equilibrium?
Assume an economy with a total population equal to 1. Individuals can only be employed or unemployed. Suppose this economy’s steady-state unemployment rate is 5%. We know that workers can lose their jobs and become unemployed with probability 4%. Wha..
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