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DWR has two facilities at which it produces its Reid couches. At facility 1, the marginal cost of production is equal to MC1 = 1,200 + 4 Q1 , while the marginal cost at facility 2 is MC2 = 1,600 + 6 Q2 . The fixed cost is the same at both facilities. DWR plans to produce 175 couches and it wants to allocate them between the two plants in a cost minimizing fashion. Thus, DWR should
How might the bankruptcy of General Motors and Chrysler--and the government response--damage the efficiency of the U.S. economy?
Develop at least two visual aids (e.g., charts, graphs, or tables) to support your argument.Evaluate whether the company's pricing and positioning decisions contribute to or hinder that success.Evaluate whether the strategy currently used by your ..
"Real Wages and Productivity-Are Workers' Paychecks Keeping Up?" Historically, over the long run, real wages grow at about the same pace as labor productivity. But has real compensation per hour kept up with output per hour over the latest 3 years..
Engineering estimates suggest that at those levels, the marginal product of capital will be 100 and the marginal product of labor will be 75. If the wage rate is $5 and the rental rate on capital is $10, is the firm making the right decision?
What are the sources of capital for a for profit company? What are the sources of capital for a not for profit organization? What are the pros and cons of the various sources of capital?
Illustrate what is the least-cost input-combination of labor and capital and how much output is produced with that set of resources.
The lumber industry was hit hard by the sub prime mortgage turmoil in 2008. Prices plunged fro m $290 per thousand board feet to less than $200 per thousand board fee t. Many observers bel ieved this p rice decrease was caused by the slowing of ne..
At what price is revenue maximized, and what is revenue at that point? Identify the elastic and inelastic regions of the demand curve.
Most of the critics argue that America has too many elections, a surplus of elected officials, and unwieldy layers of government.
Explain how does the Federal Reserve accomplish these goals.
Assume that the country is in a period of high unemployment, interest rates are at almost zero, inflation is about 2% per year, and GDP growth is less than 2% per year. Suggest how fiscal and monetary policy can move those numbers to an acceptable ..
Suppose you only have access to the rates of savings and population growth data but do not have access to the data on years of schooling (the last column of the table), use the Solow model to calculate the ratio of the steady state levels of incom..
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