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Assume the demand being perfectly inelastic, and supply suddenly doubles due to innovative technique of production. Illustrate in a well labelled graph, the changes in the equilibrium price, and quantity, and also is it advisable to do so from supplier point of view.
You have been asked to evaluate the proposed acquisitions of a new clinical laboratory test system. The system’s price is $50,000, and it will cost another $10,000 for transportation and installation. The system is expected to be sold after three yea..
Assume that: mpc=.6 Using the multiplier, calculate the change in GDP that results from a reduction of $80 billion in Investment, under all the standard assumptions. Illustrate this shift using the Investment Demand Curve and the Investment Schedule.
For the period 1980-2010, how did the rate of growth of per capita GDP in China compare to that in the US? How did the rate of growth of technological improvement (broadly conceived) in the two countries compare? Give some examples of changes that ca..
Manchester United Football Club (MUFC) is fed up with NBC Sports and Sky Sports and decides to create its own website that exclusively streams their games. After doing a little market research they discover that their main audiences are teenage socce..
Large airlines have enormous fixed costs. Their business after the attack of September 11, 2001, was dismal. US Air and United declared bankruptcy. American obtained large concessions from employees and avoided bankruptcy (until 2011). Your written c..
Which of the following statements is sequentially correct?
As a financial analyst, you are tasked with evaluating a capital budgeting project. You were instructed to use the IRR method and you need to determine an appropriate hurdle rate.
The provincial Department of Transportation pays Happy Ferry Company to transport cars across a bay that effectively splits the largest city in the province. Happy Ferry Company has submitted a bid of $5 million per year (to be paid to them by the pr..
On the grounds of economic efficiency, do you think such a proposal to raise taxes on gun and ammunition sales worthy of attention? Discuss in terms of appropriate economic models
What are some of the unintended consequences of efforts to regulate the illicit global economy? How can states more effectively reduce the negative consequences of black markets?
In a paper, analyze the impact of changes in the federal minimum wage on employment, the individual, family and household incomes, and the future of employment wages. Provide specific examples to support your findings and justify your ideas.
A few industries in the United States have convinced the political system to allow large firms to work together legally. In particular collegigate and professional sports teams have been given legal authority to cooperate to limit competition. Does t..
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