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Using supply and demand and competitive analyses, explain what happens to a pharmaceutical company’s revenues and profits from an individual drug once it loses its patent protection. Then identify at least one strategy the company can use to mitigate the losses; be sure to support your suggestion using economic analysis.
Suppose that the adult population is 152 million, the number of unemployed is 19 million and the labor force participation rate 63%. What is the unemployment rate?
A group of private investors purchased a condominium complex for $5 million. They made an initial down payment of 12% and obtained financing for the balance. If the loan is to be amortized over 11 years at an interest rate of 6.6%/year compounded qua..
Suppose that two consumers care only about the goods that they own. (The goods are private for them.) Starting from a competitive equilibrium allocation, is it possible for both consumers to be made simultaneously better off by trading with each othe..
Suppose that the salary for a recent industrial engineering graduate is expected to increase by 12% per year from a base of $52,000 over the next five years. If the interest rate is taken to be 10% during the period, the present worth of the earnings..
A fungus destroys 25% of the banana crop in Central America and the number of immigrant workers who pick apples increases. What happens to the supply or demand for apples?
Consider following claim: price of gasoline has doubled and corresponding change in demand gravely hurt those who have long commutes to work. As a student of economics what do you find correct and what incorrect in this claim.
The supply of and demand for bank reserves determines the
What must the jackpot be before the expected payoff is worth your $1 Bet? Assume that the state takes 60% of the jackpot in taxes, that no one else is a winner, and you are risk-neutral
In the short run, the marginal cost curve crosses the average total cost curve at:
Unemployment is a more serious economic problem than inflation and it should be the focus of the Fed’s monetary policy.” Evaluate this statement and explain why the Fed’s primary policy goal is price stability.
Illustrate what are the explicit, implicit, and total economic costs of the firm. How much economic profit does the firm earn.
Elucidate in writing to what market your derivation brings equilibrium and how it accomplishes this. What are the principal differences between flexible and fixed exchange systems.
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