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Q1. (Law of Diminishing Marginal Utility) some restaurants offer "all you can eat" meals. Explain how is this practice related to diminishing marginal utility? Illustrate what restrictions must the restaurant impose on the customer in order to make a profit
Q2. The project's beta is 1.8. Assuming that rf = 8% and E(rM) = 16%, Illustrate what is the net present value of the project? Illustrate what is the highest possible beta approximate for the project before its NPV becomes negative?
Q3. The U.S. government reported in July 2004 that there were 75.6 million people not in the labor force; 147.9 million in the civilian labor force also 139.7 million employed. Based on these numbers, Illustrate what was the unemployment rate?
This document contains various important questions and their appropriate answers in the subject field of Economics.
Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.
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..
Explain each of the following using supply and demand diagrams, With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.
The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.
Draw the production possibility curve and a. Define consumer surplus and producer surplus.
The Australian government administers two programs that affect the market for cigarettes
How many tickets to sell to maximize total welfare.
The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled
Depict the von Neumann-Morgenstern utility index u in a diagram
What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution
Calculate gross national product and net national product
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