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Suppose a competitive industry is in long-run equilibrium; then the price of a substitute good (in consumption) decreases. What happens in the short run?
The market demand curve?
The market supply curve?
Market price?
Market output?
The firm’s output?
The firm’s profit?
In the short run?
q.given the significant trend of declining oil price and expected independence of oil production by us in coming decade
There are learning economies, so that costs in the second period are a function of production in the first period. Will price be higher in the first or the second period?
Use your own life experience to explain the difference between the marginal and the average propensity to consume. In what circumstances could more saving be bad for the economy as a whole (search the Internet for the “paradox of thrift”)?
Most members of labor unions work in the public sector, industries that are regulated, or industries in which production is concentrated into a few firms.
Which of the following is NOT a cost-effectiveness analysis measure of the outcomes of medical interventions?
Presently, boats rent for $500 per day also workers cost $100 per day. How many workers do you need to produce 200 tons of shrimp?
What is the solution of the Solow model for consumption per person in the steady state, c ∗ = C ∗/L∗ ? How does each parameter in the solution affect c ∗ , and why?
Many goods and services are illegally sold or legally sold but not reported to the government. How would increased efforts to count those goods and services affect our calculation of GDP?
What's the difference in Classical Economics versus Keynesian Economics? If the U.S. government decided to cut taxes, what impact would this have on the economy?
A firm production function is given by q = f(k,l) = k·l1/2. w = $20, v = $5. Consider a short-run situation where the level of capital is fixed at k1 = 10. At p = $12, in the short-run, what is the quantity supplied by this price-taking firm? compute..
George and Bill are stuck together on a desert island. There are two goods, Coconut (C) and Bananas (B). George has production function 5C+B=40, while Bill has production function C+3B=36. If they could not trade, George would choose to product 6C, w..
Training is maximized when leaders set clear expectations for learners, use techniques for reinforcing learning during training, and take steps to ensure that the desired performance is maintained after training. First, briefly describe one of your j..
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