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Why are the monopolist's and the monopolistically competitive firm's demand curves downward sloping while the competitive firm's demand curve is horizontal?
400 Words.........
During a year of operation, a firm collects $175,000 in revenue and spends $80,000 on raw materials, labor expense, utilities, and rent. The owners of the firm have provided $500,000 of their own money to the firm instead of investing the money and e..
Discuss how financial friction increased sharply during the financial crises of the 1930s and 2007-2009 and how it intensified the crises.
When a government or corporation sells bonds to raise money, it can do so in one of two ways. It can target a certain amount to raise or it can target a certain amount to pay back at the end of the bond (this is simplified for the purpose of the prob..
Explain how it can be that something that an accountant calls a profit is actually a cost from the economist’s point of view. What is the difference between economic and accounting profits?
Should the SEC change their regulations of public corporations to require only annual reporting of operations? How might this impact stock price in the short term?
Elucidate the equilibrium price and equilibrium quantity. Suppose the price is currently $2. What problem exists in the economy? What would you expect to happen to price.
The 2010 oil spill in the Gulf of Mexico caused the oil firm BP and the US government to greatly increase purchases of boat services, various oil-absorbing materials, and other goods and services to minimize damage from the spill. Explain how your an..
Suppose the production function for oranges is Q = k^1/3 L^1/3. Suppose the production function for pasta is Q = 4kl. What is the long-run optimal input combination when Q = 16 , r = 4, and w = 36 ? Does this cost function have increasing or decreasi..
Which of the following two bonds is more price sensitive to changes in interest rate? A zero coupon bond, Y, with 5-year-to-maturity and 10% yield-to-maturity. Both have the same sensitivity because they have the same yield to maturity.
q1. the demand for tulips in delft holland is estimated by the following linear regression asqd125-15p5ywhere y is
Discuss how increasing your human capital may influence your ability to accept change, and readiness to learn new skills and get new jobs. Please apply the effects of human capital and technological changes as explained in the textbook when sharing y..
Neither firm can choose which cell of the payoff matrix to obtain; the payoff for every firm depends upon the pricing strategies of both firms.
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