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Suppose a firm's production function is given by f(x1,x2) = {x1,x2} . Let w1 = $10 and w2 = $15. If the firm's goal is to maximize profits, in what proportions should it use the inputs 1 and 2?
Assume the economy is at short-run equilibrium and is in a slump. Ceteris paribus, what would you expect to happen to the money supply over time? Discuss in detail the money creation process in a fractional-reserve banking system.
describe why marginal analysis must be used in decision making with examples. Also, give examples of poor decision-making when sunk costs were used to justify choices, and discuss how legal and ethical issues may play a role in making decisions.
how have you responded to increases in the price of gasoline over the past few years? how would you respond if the
a. each individual determinant analyzed for your situation with examples applicable to your situation and research
The demand curver for your firms product is linear.Based on recent sales data you have determined that at the current price the price elasticty of demand is .80. A. Is the current price on the upper or lower portion of the demand curve
The accompanying graph (top of next page) summarizes the demand and costs for a firm that operates in a perfectly competitive market.
The difference in damages between the two fuels,
part-1assume preferences can be represented by the following utility function ux1 x2 3 ln x1 ln x2a.nbsp is the
what is the difference between a price ceiling and a price floor? if a price ceiling is set below the market
What would happen to each of the following economic varibles if the government increased the money supply by 20% per year: M1, interest rates, inflation and wages What impact does increasing or decreasing the printing of money have on the economy ..
Given the below supply and demand equations for computers, The company decides to increase its marketing expenses to boost its sales and the new supply equation is P = 90 + 3Q and the new demand curve is P = 280 – 2Q. Discover the new equilibrium pri..
there is a contentious internal debate about rebalancing chinese growth from investment to consumption in china and in
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