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Q1. Assume that Mr. Brown's MPS=MPC. If he makes an extra $1,000 this year, and this increase in his income does not change his marginal propensities, how much of this $1,000 will Mr.Brown save?
Q2. Consider chip plants: potato and computer. Assume there is a large rise in the demand for computer chips and potato chips.a. How responsive to demand is each in the market period?b. Describe what a manufacturer of each product might do in the short run to increase production.c. How does the long run differ for these products?
Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..
Calculate the constant debt-GDP ratio that the country can achieve if the country runs a primary budget deficit of 3%. Is this debt-GDP ratio stable.
It comes to global expansion and setting up affiliates aboard, how is a service company's focus different from that of a manufacturing company
Why might these firms agree to form a cartel. If such a cartel is formed, use the prisoner's dilemma to explain why it may or may not survive.
How can a compensation scheme designed to enhance worker motivation lead to this result.
Perform a statistical analysis of its short-run production costs to estimate its total variable cost function.
Characteristics of Proprietorships what percentage of sole proprietorships is engaged in retail trade? Why might more sole proprietorships be engaged in services rather than manufacturing?
Starting with the situation in part d, suppose the government starts taxing the population $30 each year without spending anything.
What factors determine the intensity of rivalry in an industry. Is the intensity of rivalry in the PC industry high or low.
Compare the effects of an aggregate-demand-induced recession with an aggregate-supply-induced recession.
Expectations and consumer confidence are important in determining fluctuations in aggregate spending. In your opinion, what is the present status of consumer confidence.
Now? suppose? that? the ?first ?firm? has? a ?capacity ?of ?2 ?and? the? second? firm? has ?a ?capacity ?of ?4.
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