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A manager hires labor and rents capital equipment in a very competitive market. Currently the wage rate is $12 per hour and capital is rented at $9 per hour.
If the marginal product of labor is 40 units of output per hour and the marginal product of capital is 55 units of output per hour, should the firm increase, decrease, or leave unchanged the amount of capital used in its production process?
Should the CEO at Plain Truth cancel the audit and rely on a brief year-end summary from each sales account manager? Why?
A simple model of search. Consider an agent who lives two periods. He is unemployed at the beginning of the first period and has a wage offer of w. If he accepts the wage offer w, he will work forever at that wage. What is the expected value of the p..
q1. assume australias unemployment rate began to rise and the government passed an investment tax credit to help
Accomplice liability becomes an especially important legal issue in death penalty cases. Should the accomplice, who didn't actually do the killing, be held responsible to the same degree that the killer is held? How much of an accomplice must an acco..
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..
Suppose at the current level of labor used, the MRP = $100 and the MFC = $50. Elucidate the maximize profits
Each of the estimated coefficients statistically significant at the 95 per cent confidence interval. What is the optimal output level.
Producer and consumer surpluses are measures of:
Which of the following factors is most likely to worsen (make more negative or less positive) a (home) country's net international investment position?
Explain how does the price elasticity of demand for corn oil influence the quantity-demanded of corn oil and the Total Revenue earned by sellers of corn oil.
Define strategic competitiveness and above-average returns. What is the relationship between strategic competitiveness and returns on investment? Explain why it is important for organizations to analyze and understand the external environment. Descri..
What did the Spanish encounter at the time of the conquest? Myths vs. realities of pre-Columbian Americas? Why such a relatively easy victory for colonizers? What is Mann's overriding thesis, what is he trying to teach us in these chapters?
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