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A price-taking firm selling in a market with a price greater than the firm’s average total cost should:
Decrease production when market price is greater than marginal cost
Increase production when market price is greater than marginal cost
Increase production when average total cost is maximum
Decrease production when average total cost is minimum
None of these
q.a social scientist claims that the average adult watches less than 26 hours of television per week. he collects data
Plot the demand and supply curves for this market. Show the equilibrium price, and quantity for electricity. Label consumer surplus, producer surplus, and cost of goods sold on the figure you have drawn. Compute equilibrium price (P*), equilibrium qu..
q1. 1. at point e in figure 8.4b is mp kr greater or less than mp lw? 2. explain how do you know? 3. use this
Under the responsibility scheme proposed by the Hong Kong government, households will be charged for solid waste disposal. Is this charge justifiable from an economics point of view? Explain your answer with a diagram. Is it fair to charge all househ..
If Inputs A and B are respectively 20% and 40% of the cost of producing this product, what is the effective rate of protection on the product?
Pepsi-Cola® and Coca-Cola® have dominated the market for almost a century whereas General Motors™ and Ford Motor Company© have suffered due to increased competition.
You borrow $25,000 from your local credit union at 12 percent compounded monthly. You repay the loan by making equal monthly payments over the next four years. How much interest is in the 23rd payment?
Consider a neighbourhood with 1000 residents. Each individual must choose (let’s assume simultaneously) whether to be a criminal or not. If an individual chooses to attempt a criminal act, their payoff is 200 if they succeed, but -300 if they are cau..
Suppose that the natural rate of unemployment in a particular year is 4 percent and the actual rate of unemployment is 11 percent. Use Okun’s law to determine the size of the GDP gap in percentage-point terms. If the potential GDP is $500 billion in ..
What is the future worth of a series of even payment series of $1,674 made at the end of each 6-month period for 9 years at 6 % compounded semi-annually?
The U.S. Surgeon General issues a report stating that tomatoes prevent colds. What is the effect on the market for tomatoes? b. A new type of robot is invented that will pick peaches. What is the effect on the market for peaches?
What is the impact of the trade surplus or trade deficit upon the interest rates and currency exchange rates.
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