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Suppose you are the owner of any type of hypothetical start-up business. Suppose your total revenue is currently increasing when you use more inputs (materials, labor, machines, etc). Do you think you are maximizing the total profit in this case?
What is the miracle of aggregation? What does the miracle of aggregation have to do with uninformed voters? What is systematic error? What is rational irrationality?
How do you use indifference curve analysis to explain the price ; income and substitution effects and to demonstrate the delegation of the demand curve for different types of goods
q1. explain how one of the components of the gdp would help you to predict the amount of inventory to keep in stock if
If you won the state lottery and got a big increase in non-labor income, What would happen to your supply of labor? What would happen to your demand for leisure? What does this imply about the response of the consumer’s labor supply to changes in wag..
Describe the two possible effects that an increase in the wage rate can have on labor supply. Which effect do you expect to dominate under normal circumstances?
Illustrate what is the minimum price necessary for the company to supply one thousand cups.
A public water utility is comparing two separate pricing schemes: a two-tiered pricing scheme where the first 5,000 gallons cost $20 and all subsequent gallons cost $10 or a single price of $15 per gallon. Under scheme, how much water is purchased by..
You are the manager of a monopoly firm with (inverse) demand given by P = 50 − 0.5Q. Your firm's cost function is C = 40 + 5Q2. Your firm's marginal revenue is:
In a market with duopoly, if market demand is P=90-Q find the cournot reaction curves and the qournot quantity solutions in the case where marginal cost (MC=0) and the case where MC=30, what are the monopoly quantities in both cases? and which quanti..
The demand for diamonds is given by PZ = 680 - 2QZ where QZ is the number of diamonds demanded if the price is PZ per diamond. The total cost (TCZ) of the De Beers Company (a monopolist) is given by TCZ = 100 + 50QZ + 0.5Q2Z where QZ is the number of..
Joe quits his computer programming job, where he was earning a salary of $50,000year, to start his own computer software business in a building that he owns and was previously renting out for $24,000/year. In his first year of business he has the fol..
Explain how many seats should be protected for full-fare passengers.
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