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In the long-run equilibrium in an increasing-cost industry, each firm earns zero economic profits. Yet there is a positive area between the long-run industry supply curve and the long-run equilibrium price. What does this area represent?
A local dealer is advertising a 24 month lease of a sport utility vehicle for $520 payable at the beginning of each month. The lease requires a $2,500 down payment plus a $500 refundable security deposit. As an alternative, the company offers a 24..
Given an economy that is described by the following equations: C=2,000+0.8(1-t)Y t=0.25 I=800-200i G=1200 L=0.2Y-100i M=45,000 P=150 What equation describes the goods market equilibrium
Estimate the relationship between candy and pounds using OLS. That is obtain the intercept and slope intercepts in the equation: Pounds = β0 +β1Candy
how will (a) an unexpected 3% fall in the price level in the goods and services market differ from (b) 1% inflation when 4% inflation had been expected What impact would (a) and (b) have on the real price of resources, profit margins, output, and ..
In every scientific poll on inventions, the printing press has consistently been voted the most significant invention of the past 2000 years. What cultural and social changes were brought about by the printing press
The price in a market is dominated by two firm is affected by the quantities supplied by both firms, Q1 and Q2: P = 120 - (Q1 + Q2). The marginal cost for the two firm is identical and constant and equal to 20.
If you were running the donor government, and wanted to encourage more local spending on immunizations for children, what kind of grant would you devise? Why? How might your answer be different from the perspective of recipient governments?
Given the utility function U(X,Y)=X^0.5+Y^0.5for John. a) Do the preferences indicated diminishing marginal utility for Xand Y b) If john has income of 30 dollars. What is his demandcurve/equation for X when the price of Y is 2 dollars.
Use the money market modelto support your argument. Be sure to label the vertical and horizontal axis in your graph.
What is the appropriate fiscal and monetary policy mix?
How many years will it take for X to recover the cost of acquiring Y?
Assume the economic activity of the economy in a given year consists of the following: Steel producers fabricate Php. 4 billion of farm machinery, which is sold to farmers; Farmers produce 40 million sacks of rice, which is sold for Php. 25 billion ..
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