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Johnny Rockabilly has just finished recording his latest CD. The company can produce the CD with no fixed cost and a variable cost of $5 per CD. A) Find total revenue for quantity equal to 10,000, 20,000, and so on. What is the marginal revenue for each 10,000 increase in the quantity sold? B) What quantity of CDs would maximize profit? What would the price be? What would the profit be? C) If you were Johnny"s agent, what recording fee would you advise Johnny to demand from the record company? Why?
Larry, Curly, and Moe run the only saloon in town. Larry wants to sell as many drinks as possible without losing money. Curly wants the saloon to bring in as much revenue as possible. Moe wants to make the largest possible profits. Using a single diagram of the saloon's demand curve and its cost curves, show the price and quantity combinations favored by each of the three partners. Explain.
Explain the paradox of why new cars usually lose a large fraction of their market value the moment they are driven from the showroom. Identify the economic principle that explains this paradox.
Describe the Discretionary and Non-discretionary Fiscal Policy you would advise
Explain the entities affected by industrial regulation in terms of marketplace structure.
Illustrate what is OPEC's optimal level of production? Illustrate what is the prevailing price of oil at this level.
Elucidate the difference among nominal and real variables and give tow examples of each. According to the principle of monetary neutrality, which variables are affected by changes in the quantity of money.
A manufacture procedure using 2 inputs, labor as well as capital.
Assuming that my situation is that of other firms, in which of these cases is output similar to short run equilibrium output.
Consider a monopolist informal moneylender and competitive formal creditors who lend to farmers. illustrate what are the interest rates.
Explain why the R-squared from the regression from F test will always be at least as large as the R-square from the BP regression.
A flat tax plan allows individuals to deduct a standard allowance of $10,000 from their wages. Assume that the flat tax rate is 12%. Calculate the amount of income tax and the average tax rate if you were earning.
What does it mean when asked; what are some considerations to remember given the different roles and people in the audience.
Illustrate what is the level of consumption at the equilibrium level of income. Compute the marginal propensity to save for this economy.
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