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Since 1996, the Federal Communications Commission (FCC) implemented “local number portability” rules allowing cellular phone consumers to switch cellular providers within the same geographic area and maintain the same phone number. How would you expect this to change the market power of cell phone providers in specific geographic areas? Base your argument on the relationship between availability of substitutes, elasticity and market power due to implementation of “local number portability”.
If Michael is spending all of his money on these 2 snacks which he purchase more chips also less ice cream as well as purchase less chips.
A purely competitive firm finds that the market price for its product is $30.00. It has a fixed cost of $100.00 and a variable cost of $17.50 per unit for the first 50 units and then $35.00 per unit for all successive units. What is the average varia..
At 36 units of labor, a firm finds that both average product of labor and marginal product of labor equal 42. We can conclude that the average product curve at 36 units of labor is
Sometimes managers do not have strong incentives to maximize the firm value. At the same time development of the control systems can be both difficult and expensive.
What investment will you choose if your utility function were given by U(M) = M2 ? What is the certainty equivalent of the chosen investment?
If a firm with monopoly pricing power in the market faces a demand curve of P = 2,000 – 2Q and seeks to maximize profit, what would be the marginal revenue for the monopolist
Crowding out when the government use expansionary fiscal policy typically
they have the same demand curve for computer services. Use a graph to illustrate the overall value of computing services to the consumer. What does this imply about the profit maximizing price HAL can charge for the computer hardware.
The hiring rule for the perfect competitor in the labor market is to choose that amount of labor for which the wage rate is exactly equal to
Suppose that a monopolist sells a product to consumers with an aggregate demand that is downward sloping in quantity, D(Q) = 200 − 2Q. The total cost of producing Q units is C(Q) = 20Q + 2Q2. What are the consumer and producer surpluses (CS and PS) a..
A bonus package pays an employee $2000 at the end of the first year, $2500 at the end of the second year, and so on, for the first 10 years of employment. What is the present worth of the bonus package at 5% interest?
The vast majority of us engage in bailments often, and usually we don't think about it too much. Now that you've looked at bailments, tell the class (in general terms... no need for names of people or companies) about a bailment you have been party t..
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