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A consumer is currently purchasing three pairs of jeans and five T-shirts per year. The price of jeans is $30, and T-shirts cost $10. At the current rate of consumption, the marginal utility of jeans is 60, and the marginal utility of T-shirts is 30. Is this consumer maximizing his utility?
Describe the output level of the firm, the number of workers it employs and the profit of the firm.
Given the data of real disposable income and real consumption, draw consumption function, determine the slope-What is the marginal propensity to consume?
Determine the main differences between re-engineering and continuous Improvement as Quality Management Philosophies?
What will happen to the equilibrium level of GDP if investors become optimistic about the country’s future and raise their investment to $600?
The short run is decision making period during which at least one input is considered fixed. The fixed input is generally considered to be some aspect of capital,
Studies indicate that the price elasticity of demand for cigarettes is about 0.4. if a pack of cigarettes currently costs $2 and the government wants to reduce smoking by 20%, by how much should it increase the price
It has been proposed that toll collection on the Massachusetts Turnpike, a key commuter route into Boston from the west, be discontinued. Proponents argue that tolls have long ago paid for the cost of building the road; now they just provide cash ..
Give a numerical example to show that a monopolist's marginal revenue can be upward-sloping over part of its range.
If a cartel like OPEC restricts the output of member nations to less than they are capable of producing with their existing levels of capital equipment, does the social cost of a monopoly increase? Explain.
The tennis star had to forfeit the match due to unsportsmanlike conduct.
Suppose that the real interest rates are equalized in the two countries and that purchasing-power parity holds. Using the Fisher equation, what can infer about expected inflation in Canada and in the United States
Assume worker productivity increased at the rate what rate of increase in RGDP would be sustainable without increasing inflation pressures.
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