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Suppose that because of a technological breakthrough a firm that uses labor and capital to produce its output is able to double its production for any given amounts of inputs. What happens to the firm's MRTS at any given input combination?
Suppose that the total benefit and total cost from an activity are, respectively, given by the following equations: B(Q)=150 + 28Q - 5Q^2 and C(Q) = 100 + 8Q. (note: MB(Q) = 28 -10Q and MC(Q) = 8). Write out the equation for the marginal net benefi..
Explain how trade can adversely affect employment in a sector of the economy that is suddenly opened to trade. What is likely to happen in the long run?
The local economists estimate that Y is equal to $12,000 and Monopoly has set Pc at $10. If Monopoly's MC of serving another customer is equal to $1, what is the profit maximizing price for seasonal passes. Monopoly Rinks is the only ice skating fa..
Capital expenditure of government of India.
Suppose that the w=1, r=4 and the production function is given by: Q = K1/3L2/3. This means that the . Suppose that the w=1, r=4 and the production function is given by: Q = K1/3L2/3. This means that the marginal product of labor
Assume that a new car hits that market that has been shown to have a lower risk of fatal accident. In particular, 1/5000 cars is expected to result in fatal accident. The risk of fatal accident for the same car without the new safety features is 1..
What are some mechanisms for protecting the environment? Are these sufficient? Justify your answers.Report style required. Harvard referencing. Assignments must contain a cover page.
Robinson Crusoe can either fish (F) at a rate of 1 caught per 2 hours or pick Coconuts (C) at a rate of 1 picked per hour. He has 12 hours per day available for either activity. Describe his production possibilities.
Consider two economies with identical technologies and identical initial conditions but with different corporate tax rates, τ and τ' . Determine the relative income of these two economies (as a function of time).
What is the overall significance of the regression?
Emerson Processing borrowed $900,000 for installing energy-efficient lighting and safety equipment in its La Grange manufacturing facility. The terms of the loan were such that the company could pay interest only at the end of each year.
A group of venture investors is considering putting money into Lemma Books, which wants to produce a new reader for electronic books. The variable cost per unit is estimated at $250, the sales price would be set at twice the VC/unit, or $500
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