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a) Sleek is one of the many firms in the market. Question does not say anything about the type of competition. We can assume perfectly competitive market here. Following would be diagram of price, quantity and profits of firm:
B) Firm gets only normal profit in long run if competitive market exists. Then following shall be shape of curve:
c) If consumer grows more stylish , it means that consumer would go for the branded products and his demand for the product would be less elastic. Hence there will rise in price and profits of firm
consider the following linear programming problemmin a 2bs.t.a 4blt or equal to 212a b gt or equal to 73a 1.5b lt or
Your accountants tell you that it costs $400 to set up an immunization program at a preschool and immunize one child against polio. It will cost $460 to immunize 20 more children.What is the cost per child for these additional 20 children
If the Federal Reserve wants to keep the annual inflation rate constant at 1 percent, and the average growth rate of real GDP over time is 3 percent per year, how fast should the money supply grow on average over time to achieve the target inflati..
The final exam is now available, and the student must do current research and use critical-thinking in responding to the question below
The inverse market demand in a homogenous-product Cournot duopoly is P = 100 - 2(Q1 + Q2) and costs are C1(Q1) = 12Q1 and C2(Q2) = 20Q2. a. Determine the reaction function for each firm. b. Calculate each firm's equilibrium output.
A firm produces output according toa production function Q = F(K,L) = min {2K,4L}. a. How much output is produced when K =2 and L = 3 b. If the wage rate is $30 per hour and the rental rate on capital is $10 per hour, what is the cost-minimizing in..
The manager of the company's pension fund is compensated based entirely on fund performance; he earned $1.2 million last year. As a result, the fund is contemplating a proposal to cap the compensation of fund managers at $100,000.
which would have otherwise been sold for $180,000. The firm will borrow $750,000 to finance the acquisition. Total interest expense for 5-years is expected to approximate $350,000. What is the investment cost of the machine for capital budgeting p..
1. a individual is borrowing 175000 for a 15 year loan at 4.17 per year compounded monthly. calculate his monthly
Explain how to obtain the weighted least squares (WLS) estimate of p. What are the statistical properties of WLS estimates?
Suppose that the Fed's inflation target is 2%, potential output growth is 3.5%, and velocity is a function of how much the interest rate differs from 5%: %^V= 0.5 X (i-5). Suppose that a model of the economy suggests that the real interest rate is..
claimed that if z+x/y, then g(z) = g(x)-g(y), where g(.) represent the growth rate of the variable in question. Prove this result in a formal way using two methods. First, repeat the method that we used in class to prove that if z = xy, then g(z)=g..
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