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The additional output produced by a firm as a result of hiring another worker is called the marginal product of labor. The amount by which a firm’s revenue will increase as a result of hiring one more worker is called the marginal revenue product of labor. Would a firm hire another worker if the marginal revenue product of labor exceeded the market wage rate? Why or why not?
What would be the total profit of the firm if it sells the entire output at a cost of Rs. 60 per unit.
Why might consumers’ price elasticity for ice cream cones once they are in an ice cream store be .20 and their longer-term price elasticity be 1.2?
If the market for grapefruit is in equilibrium without any outside intervention to change the equilibrium price:
For each of the following transactions, how much does US GDP increase? And how much, if at all, do consumption, investment, government purchases and net exports change? Peter Rich buys a 1928 painting by Pablo Picasso at an auction for $1 Million. In..
Identify for each of the following whether the actual multiplier in the banking system is rising or falling? 30 points Banks increase their reserves beyond what is necessary.
Consider a bond market. Show graphically and explain how each of the following changes would affect bond price, quantities traded and yield.
Health insurance companies in a country decided to introduce pre-authorization review of hospital admissions, i.e., all hospital admissions must be pre-authorized and the health care provider must contact the insurance agency to get the approval to a..
Suppose the government wishes to lower the exchange rate, ε, but not to change real output, Y. What monetary or fiscal policy, or combination of the two, does it need to use to do this? Assume that exchange rates are floating.
q.differentiate between management and leadership.describe the role and responsibilities of leaders in creating and
Assume that a 1- year discount bond (bond A) with a face value of $1,000 is currently trading at PV = $938.97, and another 2-year discount bond (bond B) with identical risk features and face value is currently trading at $834.01. Please calculate the..
What are the implications of low US savings rates for economic growth? Do low US savings rates mean we are running out of capital per worker? (Explain why or why not). Is it possible for a country to have too high a savings rate?
Chevron Corporation is one of the largest integrated oil companies in the world. Its management is assessing the world marketplace and taking steps to sustain the company’s competitive position. Chevron is studying external and internal factors that ..
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