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It costs a company $35,000 to produce 500 graphing calculators. The company’s cost will be $35,050 if it produces an additional graphing calculator. If the company produces 500 graphing calculators then a. its average cost is greater than its marginal cost b. its average cost and its marginal cost are equal c. this cannot be determined from this information given
A nation that imposes tariffs on imported goods may find its welfare improving should the tariff result in a favorable shift in the terms of trade. Explain
Graph the budget constraints facing each of the three families and discuss a possible indifference curve which could correspond to the choice each family makes.
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
Your uncle Bob has been following a home-made investment strategy. Over a period of five years, he made ten semiannual purchases of stock for $1,000 each. At the end of the five years, he sold all the stock for a total of $12,000. What effective annu..
In matters involved with Domestic Policy-making (Chpt. 15), Bardes & Shelley go into great detail on the interplay between tax policy, fiscal policy, and monetary policy matters. What are the distinctions between these three levers that control econo..
The demand for the product of a business is given by q = 50 - 2p. If the price of the product is p = 10 dollars, the revenue is
A business is generating $1000 a month for the next 5 years at a nominal interest rate of 12% compounded monthly. How much cash should one pay for it?
A night-club owner has both student and adult customers. The demand for drinks by a typical student is QS = 18 − 3P. The demand for drinks by a typical adult is QA = 10 − 2P. There are equal numbers of students and adults. The marginal cost of each d..
Given the optimal output in c, Elucidate how much profit (or loss) can the manager of Ever Klein Pool Services expect to earn?
Around 2000, the dotcom bubble in the stock market burst and the US entered a recession. What would the neo-classical policy prescription have been for the US government and the Federal Reserve to do about this recession? How would this have operated..
Illustrate what is the expected value of your earnings from investing in General Motors stock.
Consider a firm using labor and capital as its only inputs. The price of capital is $40 where the price of labor (wage) is $60. Using 500 units of labor and 500 units of capital the firm is producing 1200 units of output. Write the firm's isocost equ..
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