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Question
You own a cigar company in Cuba. You produce 999 boxes of cigars per year. Your average costs per box is $1.00. Jean Chretien orders you $5.00 to produce an extra box so that he can give it to his best friend George W. Bush. If you accept his offer your average costs per box will be $1.01. Should you accept his offer and produce that extra box? Explain (with the relevant assumptions and numbers) why or why not.
Futons Inc. produces futons using only two inputs – capital (wood, nails, and hammers) and labor (measured in worker hours) – with a technology characterized by the following function:q = 2ln(K + 3L)Futons Inc. spent $100 on 100 units of capital at t..
We know that taxing them could achieve a more efficient outcome. But, what if instead we made them feel guilty for not contributing.
To maximize profits, monopolists with always set a higher price in markets with more inelastic demand curves. Monopolists typically prefer not to segment markets. On Black Fridays, most retail outlets have major store wide sales. Yet, as one of the b..
How have your social institutions and other ideologies influenced your perception of who you are? Remember, ideological beliefs can include both the ways
Define the concept of convergence and conditional convergence. What are the predictions of the SOLOW model with constant productivity about both types of convergence.
The main characteristic that distinguishes monopolistic competition from perfect competition is:
If by bad management components of a corporation become competitive, the system is destroyed. A common example lies in the practice of ranking people,
In your opinion and based on your research, submit a post defining what software piracy is, who it benefits, who it hurts, and how a Christian should deal with the problem?
A firm has two variable factors and a production function y = (2x1 + 4x2)1/2. Without taking any derivatives, determine the technical rate of substitutionbetwee
Health care facilities treat many types of patients. For hospitals, patients are called inpatients and stay overnight.
The betas for these four stocks are, 92, 98, 1.38, and 1.83, respectively. What is the portfolio beta?
PiR8 Systems has borrowed a sum of $2.5M from a bank at interest rate of 4.5%. The company also borrowed $0.5M from other sources at a interest rate of 4%. Additionally the owners have invested $2.5M in the business with the intention of earning 15% ..
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