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If demand is perfectly inelastic (equal to zero), can you really maximize Total Revenue? Seems to me that it would continnually rise as P increases since demand remains unchanged?
A unit circle representing the dimension of ”mouth feel” in breakfast cereals has 200 con- sumers spread uniformly along it. All consumers buy either one package of cereal a week or none at all (in which case they eat bread) and incur disutility c = ..
What nominal rate per month is equivalent to an effective rate of 3.8% per quarter, compounded continously?
The citizens of Springfield love donuts. Due to health concerns, the city has decided to make citizens responsible for paying a per donut tax of 50 cents. a) On the graph, please shift the appropriate curve to illustrate the effect of the tax.
Assuming a bank only keeps enough of its reserves to meet its reserve requirement, how much money is created when the Federal Reserve purchases $80,000 worth of bonds from a bank (this means they deposit $80,000 in that bank's reserve account) and th..
Treasury bonds with the same maturity are yielding 4.7% per year, and the real risk-free rate (r*) is 2.05%. The average inflation premium is 2.25%, and the maturity risk premium is estimated to be 0.1(t - 1)%, where t = number of years to maturity. ..
The economies-of-scale curve is a long-run average cost curve, because
Consider a duopoly model where two firms compete in their prices sequentially.(Be careful!) Denote firm 1's price by p1 and firm 2's price by p2. Every firm has a constant marginal cost c > 0 but no fixed cost. Find the subgame perfect equilibrium ou..
What is the Federal Reserve (Fed) all about? Which Federal Reserve District Bank is closest to you? Who is the current Chairman of the Fed? Should the Fed remain independent from political authority or should the President and Congress have a say in ..
Determine the labor costs required to produce the 100th item if the first item requires 45 days to produce and the learning curve percentage
Suppose that Kiribati can produce 1000 tons of breadfruit or 500 tons of fish, and that Tuvalu can produce 750 tons of breadfruit or 1875 tons of fish. What is the opportunity cost of 1 unit of fish in Kiribati? Show your work. What is the opportunit..
For each of the following, describe some of the potential opportunity costs:
What were the most compelling topics learned in this course? How did participating in discussions help your understanding of the subject matter? Is anything still unclear that could be clarified?
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