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In general, the marginal cost (MC) curve is U-shaped as you learned in the lectures and the textbook. However, exception exists. Please provide at least one industry as an example to illustrate that MC is not U-shaped. Explain briefly the shape of MC in the industry.
You are the manager of a firm that competes against four other firms by bidding for government contracts. While you believe your product is better than the competition.If this legislation is passed, by how much should you expect your profits to chang..
A firm's expansion path represents labor and capital inputs that minimize the cost of production associated with each output level. If a firm uses only two factors of production, one of whose marginal product becomes negative when its use exceeds a c..
If the quantity of housing supplied in a community is greater than the quantity of houses demanded, the existing price:
What is the rate of return on an investment, if you pay 750 dollars for a bond 2 years after it is issued. And the bond pays you 65 dollars in the end of the year, for 8 years and 1000 dollars in the end of the eighth year.
Is it possible to trade foreign exchanges in the future markets? How does such trading differ from the forward market?
How does a country get a comparative advantage? How would you be able to figure out which product categories or industries the United States has a comparative advantage in?
What are the terms of trade? (At what rate would you each be willing to trade?) f. Using graphs for both you and Pat, show that trade allows each of you to achieve a point on your consumption possibilities curve which is greater t..
Start with your factors of production on page 34 and then briefly describe whether these resources were allocated efficiently. Think about how you can check whether marginal benefit equals marginal cost for each of your household’s activities. Are yo..
Evaluate the following statements using graphical analysis. Provide a brief narrative explanation of your graph to support your evaluation. Make sure the axes and curves in your graphs are properly labeled. “When demand for home heating oil increases..
For each of the following, use an ADIIA graph to show the short-run effects on output and inflation. Assume the economy starts in long-run equilibrium.
Elucidate how do you compute the effective price reduction resulting from a coupon promotion.
The figure above shows a nation's production possibilities frontier for apples and oranges. What combination of goods is represented by point B? Which point represents an unattainable combination of goods?
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