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Suppose that the inverse demand curve for a new laptop computer can be expressed as P = -aQ +bI, where price (P) is in dollars, quantity (Q) is in number of laptops in millions, and income (I) is in dollars. Solve for "-a" if the price elasticity of demand is -2.0, the income elasticity is +1.5 and initial conditions are such that P = 500, Q = 2, I = 50000.
What does specialization and division of labor have to do with the marginal product of labor?
If there are only four Ice cream sellers and the price for ice cream increases from 4 to 6.. By how much does the quantity supply increase?
Describe the topic and the policy question; Provide statistical data that is relevant to a decision on the policy question; Then choose your position and defend it using the data, economic theory and logic.
What is the role of developed countries in promoting development policies in developing countries?
A perfectly competitive firm uses capital and labor to produce output, in the short run, according to the following production function: Q=K1/2L1/2 1. Find the amount of capital and labor that will maximize profits 2.Show second order conditions for ..
If the US inflation rate becomes high relative to Canadian inflation the following outcomes will occur for the scenarios listed - The demand for Canadian dollars will increase; The supply of Canadian dollars available for sale in the market will decr..
Find for each country expressions for the equilibrium price and ?rm pro?ts and quantity under the assumption that no trade between the two countries occurs.
If the economy is in a recession and prices are relatively stable, then the discretionary fiscal policy or policies that would most likely be recommended to correct this macroeconomic problem would be:
q1. an average department store sells 350 mens suits every year. the mens suit departments at a particular national
Evaluate the distribution of income in the United States and issues relative to inequality. Describe and explain a monopolist’s output decision.
Supply-side policy is based on the assumption that people's economic behavior is not affected by taxes. Interest rate differentials can cause rapid fluctuations in short-run exchange rates. In general, speculators tend to make a floating exchange rat..
Are you concerned that automation may increase unemployment or underemployment in the United States and around the world.
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