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Suppose a business experiences a sudden increase in its fixed costs. For example, suppose property taxes increase dramatically. What impact, if any, will this have the firm's AFC (average fixed cost), AVC (average variable cost), ATC (average total cost) and MC (marginal cost) and therefore these cost curves? Why?
Economists have devised measures of how much consumers alter their purchases in response to price changes. These measures are called price controls. price floors.
The citizens of Balaland used to pave 120 miles of roadways each year. After government of Balaland start paving 100 miles of roadways each year itself,
Illustrate what is the effect of an import quota on the supply and price of domestic sugar. How many units of sugar will domestic produces supply after the quota is imposed.
There is a supply and a demand for most goods. The result is a market clearing equilibrium price. Firms many times supply a certain amount of the hot or must have product to the market.
Has a deadweight loss been created? Why? Does the price ceiling cause economic inefficiency?
If you assume that wealth (W) and investment (I) remain constant what are the equilibrium levels of GDP (Y), consumption (C), and savings (S) ?
Presently you have to decide on a strategy - will PM Company simply sell its products (trade) or expand its markets via investment.
The money supply (M) is the sum of bank deposits (D) plus currency in the hands of the public (call that C). Suppose the required reserve ratio is 20 percent and the Fed provides $50 billion in bank reserves (R = $50 billion).
Life insurance companies require applicants to submit to a physical examination as proof of insurability prior to issuing standard life insurance policies.
Using the concepts of rational behavior, utility, opportunity cost, marginal benefits and marginal costs, and allocative efficiency and content from the economics USA comment on whether the United States should drill for oil in Alaska and off the Gul..
A great deal of expensive research is invested in developing technologies to deliver productive agriculture. Horticultural efforts to breed hybrid crops are seen as far back as history can observe, and there have been efforts to domesticate improv..
Households at bottom, Business at top, Product mkt left, Resource mkt. right side. And government in middle. Also bank is out of flow between product mkt. and Business's with money flowing in and out of flow. Diagram only portrays flow of money betwe..
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