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A perfect competitive firm faces a market price of $10 for its output X. It owns two plants A and B, whose total costs are TCa=10+2X+.25X^2 and TCb=15+.4X+.1X^2. How many units should each plant produce to maximize profit at that price?
Determine what effect should each of following have upon demand for profitable music players in a competitive market?
Amityville has a competitive chocolate industry with supply curve Ps =440+Q. While market demand for chocolate is Pd=1200-Q, there are external profits that the citizens of Amityville derive from having
Evaulate the price elasticity of demand for subway rides. The subway fare in your town has just been increased from the current level of 50 cents to $1.00 per ride.
Determine how velocity is affected by an increase in real income (Y), an increase in the nominal interest rate, and an increase in the price level.
What is significant about the connection between the demand for goods and market failures? What happens to the demand for goods when a market fails
In a practical sense, write your opinions on the effect a rule stating that university students must live in university dormitories would have on the price elasticity of demand for dormitory space.
Deep global recession might trigger changes in expending from imported items to domestically manufactured items. What are at least two policies that governments might implement to increase expending on domestic items.
Which of the following is not a condition required for the practice of price discrimination?
Describe why a Keynesian approach to managing the macro economy might be appropriate while, at another point in time, a classical approach might be more likely to produce a superior outcome.
How important were price considerations in making your college decision? Would a change of a few thousand dollars have mattered and would you expect the price elasticity of demand to be higher for financial-aid students or for non-aid students?
Describe the law of demand. Why does a demand curve slope downward? What are the determinants of demand? What happens to the demand curve when each of these determinants changes?
Describe and discuss why characteristics of the labor markets should result in the similar wage rate for all jobs requiring the similar level of abilities and skills?
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