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If consumers should allocate their income so that the last dollar spent on every product gives them the same amount of additional utility, how should they decide the amount of their income to save?
Explain the paradox of saving. Now suppose the economy is characterised and what will happen to investment? What will happen to public saving?
Draw a graph of aggregate demand and aggregate supply to illustrate the current situation. Be sure to include the aggregate demand curve, the short run aggregate supply curve and the long-run aggregate supply curve
Bill and Sam both attend the same college and have the same expenses for tuition, books, and supplies. However, Bill is a famous athlete who could be earning $1 million per year playing professional baseball if he were not attending college while Sam..
Using the given table, find out the quantity where MC = ATC. Find out the quantity where ATC is at its minimum. Find out the quantity that is the most efficient operating point for the firm.
Consider the following firm with the production function Q=F(L)=2L^1/2. L=labor. Wage w=12. Fixed costs are FC=500(sunk cost). Derive the short run cost function. Graph this function using excel.
There are two types of customers in a market for sheet metal. Let P represent the market price. Describe the market demand curve algebraically. In other words, show how the quantity demanded in the market Q depends on P.
a. Draw the country's production possibility frontier b. What's happening to the opportunity cost of wheat as the country produces more and more wheat c. What is the opportunity cost of increasing tank output from 3,000 units to 4,000 units
Explain why the waiter will provide bad service and since you are interested in good service, can you convince the waiter, in a binding/credible manner that you will tip him?
1. in addition to the chairman of the board of governors the fomc consists of .nbspa. six rotating members of the board
How was Malthus's view different from Keynes? How was the period during which he was writing affect this comparison? Does his feeling that the landed aristocracy should be promoted also affect this comparison?"
When the price of a superior good increases, consumers demand more of it. As consumer income increases a larger percentage of that income is spent on superior goods.
What is the long-run equilibrium price (P*)? The total industry output (Q*)? The output of each ?rm (q*)? The number of ?rms? The pro?ts of each ?rm? c. The short-run total cost function associated with each ?rm's long-run equilibrium output is g..
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