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You are the manager of a monopolistically competitive firm. The inverse demand curve you face is P = 50 – 4Q. Your cost function is C(Q) = 10 + 2Q.
1. What level of output should you produce to maximize profits?
2. What is your profit and what will happen in your market in the long run? Explain.
think of a business firm you recently visited such as walmart home depot red lobster barnes amp noble mcdonalds etc..
Suppose that a competitive market is initially in equilibrium. Then demand increases. If some resources used in production are not available in sufficient quantities for entering firms,
Describe a model of economic growth with spillover effects
Economists often argue that wage rates reflect productivity. Yet, the wages of house painters have increased nearly as rapidly as the national average, even though these workers use approximately the same production methods as they did 50 years ago.
The firm's budget is $7500, how much labor and capital should be employed?
Several years ago, American Economic Review published a paper in which the author claimed giving gifts at Christmas was "inefficient." Instead of giving gifts, which the receiver might not want, it would be better to give money so that the recipie..
each year a large university collects data on average beginning monthly salaries of its business school graduates. a
you are the owner of a small bread factory and are thinking of lowering costs and expanding. your small-business
select a state az or federal us public policy that is of interest to you and is not covered on the syllabus. over the
2000 years ago gladiators fought in the coliseums of ancient rome making huge salaries. is this an example of a winner
1. down on our luck studio has spent 100 million producing an awful film a depressing story about a miserable person.
While starting salaries have fallen for college graduates in many of the top hiring fields, there is some good news for business undergraduates with concentrations in accounting and finance (Bloomberg Business week, July 1, 2010).
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