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1. In a short run a perfect competitive firm will always make an economic profit if:
a. P = ATCb. P> AVCc. P = MCd. P >ATC
2. In the short run, the individual competitive firm's supply curve is that segment of the:
a. average variable cost curve lying below the marginal cost curveb. marginal cost curve lying above the average variable cost curvec. marginal revenue curve lying below the demand curved. marginal cost curve lying between the average total cost and the average variable cost curves
Women have increased the amount of education they have achieved relative to men, and average years of schooling completed are now approximately the same for males and females. Human capital theory predicts that this would close the male-female.
How could these issues be avoided? How does an understanding of your culture allow you to better understand the culture of others? The items globally marketed in those graphical area brands could be less affordable declining sales create a ripple ..
As an industry moves from being a monopoly to a monopolistically competitive one (due to the entry of new competitors as the monopoly's patents expire, for example), what happens to the elasticity of the demand curve facing the firm
The price of some stock today is $300. Assume that the stock's value in one year is a random variable X with the following probability distribution: P(x=400)=0.1; P(x=350)=0.4; P(x=300)=0.3; P(x=270)=0.2.
Illustrate what is the expected interest rate that will be charged by a bank that cannot exactly distinguish.
Calculate the effect of the following events on the monetary base:
The Federal Reserve buy $1 million in United State Treasury Bonds from a bond dealer, and the dealer's bank credits the dealer's account. The required reserve ratio is 15%,
In a speech, Professor Gregory Mankiw contends that our elected federal leaders should raise the gasoline tax. Not quickly, but substantially.
Currently XYZ's compensation system is such that only top managers receive compensation based on the company's performance, while everybody else in the company receives a fixed salary. Moreover, top managers have full discretion over the launch of..
The one-year real rate of interest is currently estimated to be 3 percent. The current annual rate of inflation is 2 percent, and market forecasts expect the annual rate of inflation to be 5 percent. Approximately, what is the current one-year nom..
Pick your own Macroeconomic issue from the national news and comment on it. I like the Wall Street Journal but you can pick another similar newspaper. There are many Macroeconomic issues in the news right now. As you learned in Chapter 2, macroeconom..
Suppose that an increase in the price of grapse from $1.20 to $1.40per pound raises the amount of grapes the grape farmers producefrom 1.2mil pounds to 1.6 mil pounds. Use the midpoint method, what would the elasticity of supply be?
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