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Rate of change of cost. The fast-food restaurant in Problem 63 can produce an order of fries for $0.80. If the restaurant s daily sales are increasing at the rate of 45 orders of fries per day, how fast is its daily cost for fries increasing?
Problem 63
Rate of change of cost. A fast-food restaurant can produce a hamburger for $2.50. If the restaurant s daily sales are increasing at the rate of 30 hamburgers per day, how fast is its daily cost for hamburgers increasing?
There are 300 purely competitive farms in the local dairy market. Of the 300 dairy farms, 298 have a cost structure that generates profits of $24 for every $300 invested. What is their percentage rate of return
What is the relationship between Ybar and myuY?explain in details
A firm believes the sales volume (S) of its product depends on its unit selling price and can be determined from the equation P=$100-S. The cost (C) of producing the product is given by equation C=$1000+10S.
Show that capital income taxes have no effect in the former, while they depress the effective capital-labor ratio in the latter. Explain why there is such a difference.
Evaluate the actions of the federal government and the Federal Reserve to restore equilibrium. How effective were these counter-cyclical policies?
Under a fixed exchange rate system, when will speculation by foreign investors be stabilizing? When will it be destabilizing?
Given the game that was played in the experiment (i.e. h=0.5, v=10, cl = 2, ch = 6), what would be the payoffs to two players, if player 1 (the seller) posts price pl = 6 and ph = 8, player 2 (the customer) accepts if, neither liability nor verifiabi..
ADVANCED ANALYSIS Let MUA = z = 10 - x and MUB = z = 21 - 2y, where z is marginal utility per dollar measured in utils, x is the amount spent on product A, and y is the amount spent on product B. Assume that the consumer has $10 to spend on A and ..
With a price floor, will the most efficient producers necessarily be the ones supplying the market?
Show that an increase in a1 for group 1 workers now creates a dynamic externality, in the sense that current output increases, which leads to greater physical and human capital investments in the next period.
Barney Rubble, marketing director for Flintstones, is considering whether or not the company should market its product directly to end users for $300 per unit. Although no added investment in productive facilities is required, there are additional..
x is the amount spent in product A. y is the amount spent on product B. Assume that the consumer that the consumer has $10 to spend on A and B, that is x+y=10. How much utility will the marginal dollar yield
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