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In the Case in Point on page 642, the cost of cyclical unemployment was estimated for 2002 by assuming that the unemployment rate associated with full employment was 5 percent. Suppose changes in the age structure of the workforce meant that full employment in 2002 was actually associated with an unemployment rate of 4.5 percent rather than the 5 percent figure used earlier. Recalculate the output costs of the recession. Explain why they are higher.
Compute the value of the deadweight loss associated with having an unregulated monopoly relative to having a regulated monopoly where a price is permitted that covers ATC.
Can you give some examples of these price differences from your experience at normal and upscale supermarkets? Visit a couple of same-industry stores such as Walmart and Whole Foods to collect data if necessary. (Related to Application 4 on page 3..
your company is currently considering the following possible projects which are not mutually exclusive. you have a
a)what is equilibrium level of national income using table above b)at the equilibrium level of national income what will consumption expenditure be c)at the equilibrium level of national income what will the levelof saving be
Chez Henri is a restaurant chain that operates in forty different cities. It employed an economist to determine the factors affecting the demand for its sales.
Explain first why the equilibrium levels of output and the interest rate are unaffected. Then show whether the current account improves or worsens as a result of the increased government purchases of goods and services.
Suppose that in the domestic market for computer chips the demand is Pd = 110 - Qd. The domestic supply is Ps = 10 + Qs. Foreign suppliers would be willing to supply any number of chips at a price of 30$.
can a corporations annual profit be predicted from information about the companys ceo? forbes may 1999 presented data
man wants to help provide college education for his daughter. He can afford to invest $600/yr for the next 4 years, beginning on the girl's 4th birthday, he wishes to give his daughter $4000 on her 18th 19th 20th and 21th birthdays, for a total of..
Point A 4m barrels oil 200 tonnes lumber Point B 6m barrels oil 150 tonnes lumber a) If we had a PPF with the goods oil and lumber, how would be measure the MC of oil between points A and B
data for a firm's output at various levels of employment (L) to calculate: a) its marginal physical product of labor (MPPL) schedule; (b) its (MPPL/MRCL) schedule, given a fixed wage (W = MRCL) of $25 per hour per worker. (c) Assuming that capital..
Joe sells vacuums. Given the demand for vacuums at P= 15 - .001Q. Joe faces constant cost of $3 per vacuum and $5,000 fixed cost. What is the dead weight loss given profit maximized out put is 6,000 units and rpice 9$
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