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A small-volume foreign auto maker limits the number of its franchised dealers in the United States and gives them exclusive territories. There are also non-dealers who have no official connection with the manufacturer. They buy its cars overseas and sell them in the United States, a phenomenon sometimes called a "gray market." If you are a manufacturer do you necessarily want the gray market to cease to exist? Why or why not? How about if you are a franchised dealer?
Describe the importance of cost of capital with respect to the actual financial problem of most manufacturing companies.
Suppose if pollution is bad, why is there any tolerance and programs for pollution rights, tax incentives, and subsidies?
Assume that the government proposes to cut taxes while maintaining current level of government expenditures. To finance this deficit, it may either
Find the revenue earned by each bakery. From that revenue subtract the bakery's variable cost and compute the firm's short run economic profit.
Find the first order conditions and find the asset demand function for a when utility takes the log form, as in 1B above.
At what output is AVC at minimum? If the market price of firm's output is $7 per unit, should the firm produce or shut down?
Estimates of the maximum amounts of output possible with different combinations of two input factors, X and Y.
Develop a response that includes examples and evidence to support your ideas, and which clearly communicates the required message to your audience.
Calculated the point price elasticity of demand for Papa burgers and calculate the optimal price for Papa burgers if marginal cost is $1 per unit.
What is the Marginal Cost? What is the Average Cost? What is the optimal production level where production costs are the lowest per unit?
During the 4th-quarter of 1993, real GDP in US increase at an yearly rate of over 7 %. During 1994, the economy continued to expand with modest inflation
Describe the effect of each of the following events on the market for labor in the computer manufacturing industry. Use graphs.
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