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In a perfectly competitive market, all firms are identical, firms can freely enter and exit, and the market has an unlimited number of potential entrants. Now, the government starts collecting a specific tax t. What is the effect on the long-run equilibrium market quantity, market price, and the quantity for an individual firm?
Classify each of the following as a movement along or a shift of the production function and provide a justification for your choice.
A firm faces a demand where q=20-P. q is quantity demanded, P is price. Its total cost function is TC = 2q^2 + 2q + 20 . How many should it produce to maximize profit? What is the price it charges to its consumers?
Now consult recent International Monetary Fund publications to determine the extent to which EU members conduct international trade with each other rather than with outside nations. What has been happening to the total magnitude of EU imports from no..
for a child i living in a particular a school district let voucher be a dummy variable equal to one if a child is
The 16 overhead doors on your loading dock must be replaced now . The deluxe model costs $2,200 for each door and will last for six years. The standard model costs $1,600 for each door and will last for four years. The deluxe model is aluminium so it..
Consider a worker who is paid a ?at rate w to perform a task. The worker gets to choose the amount of e?ort she exerts; the harder she works the more output she produces. In particular, her ?rm earns v for each unit of e?ort e the worker exerts. What..
Elucidate Illustrate what you can do, if the best technology was used to produce the components of the system.
"Any development program adopted by a country is considered sustainable only if the said program is economically, socially and environmentally sustainable." Do you agree with this statement? If yes, explain what you understand by social sustainabilit..
Illustrate what is the minimum price neccessary for this firm to produce any output in the short run.
Some economists argue that it is possible to raise the standard of living by reducing population growth.
Ghana is a producer and exporter of crude oil. Since Ghana is a relatively small crude-oilproducing country, its actions do not affect world prices; as an exporter, Ghana faces a foreign demand curve that is perfectly elastic at a price of $ 15 per b..
If trying to sell a new accounting system that will reduce cost by 10%. Instead of pricing the product you give the cost as 50% of their cost savings. Describe the information assymetry and adverse selection problem and why soft selling is successful..
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