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How does the possibility of Ricardian rents complicate inferring market power from market share and profits? Why does the capitalization of monopoly profits make it difficult to determine a firm's market power? Explain.
Suppose a firm finds that the marginal product of capital is 60 and the marginal product of labor is 20. If the price of capital is $6 and the price of labor is $2.50, describe how the firm should adjust its mix of capital and labor? What will be the..
For what rate of inflation, both the options are equally attractive ? Describe two different methods of "Depreciation" an equipment / plant may undergo (with numerical example)
q1. suppose that people consume only three goods as shown in the table tennis balls golf balls bottle of gatorade2009
Which of the following is the most fundamental assumption in economics?
Explain how many fish should a commercial fisherman try to catch a day. Should he catch as many as possible or return to dock before filling the boat with fish.
Outline a plan that managers in the low-calorie, frozen microwaveable food company could follow in anticipation of raising prices when selecting pricing strategies for making their products response to a change in price less elastic.
A friend of yours has just returned from desert island where she was stranded alone since January 2009. Having completed Econ. 104 just prior to arriving on the desert island (and being naturally curious), Is international trade more or less importan..
how would these cities change their size? Assuming that the total population of 13 million cannot be changed, would there be a smaller and a larger city?
How many yrs (expressed with 2 decimal place precision and accuracy) will it take to triple your investment of 383 $'s,if you can obtain 5.86%/yr interest compounded continuously?
Assume that the Fed decided engages in an open market purchase of $100 million dollars. If the required reserve ratio is 10%, and if banks hold an additional 2% of their assets in bonds, calculate the total change in the money supply.
If the banking system has a required reserve ratio of 25%, then the money multiplier is. If Bank A receives a $20,000 deposit and the reserve requirement is 25%, how much does Bank A have available to loan out?
Estimates for a proposed small public facility are as follows: Plan A has a first cost of $50,000, a life of 25 years, a $5,000 market value, and annual maintenance expenses of $1,200.
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