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Consider the following production functions:
A. Fixing total factor productivity (A) at 10 and capital employment (K) at 4 units, what is the marginal product of labor associated with labor employment of 25, 35, and 45 for each production function? Do these production functions exhibit diminishing returns to labor employment? Explain.
B. Are labor and capital complements under these production functions? Explain.
C. Is either production functions a "Cobb-Douglas" function? Explain.
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Government increases its spending by $2 billion and raises taxes by $1billion. Illustrate what happens to equilibrium income.
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You are working with your supervisor to order Windows Server 2008 for a server that willfunction as a certifi cate authority. One of your goals is to use Network Device Enrollment Service. Your supervisor wants to order Windows Server 2008 Standar..
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List the primary goals of the Fed in setting monetary policy - What happens to the aggregate demand curve and short run aggregate supply curve in the long run after this expansion of full employment output?
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An industry consists of a dominant firm with costs C(Qd) = Qd and 8 identical fringe firms, each with costs c(q) = 1 + q^2. Market demand is Q = 20 - p. What is the supply schedule for a fringe firm in the long run? Sketch the supply. (You would need..
Draw a supply-demand diagram representing the effect on the market for hybrid autos of a permanent increase in the equilibrium price of gasoline from around $2.00 per gallon to around $4.00 per gallon.
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