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1. What is the principle-agent problem and how can it be avoided?
2. What is the difference between explicit and implicit costs?
3. What is the law of diminishing returns?
4. What determines the U-shaped curve of short run production costs?
5. What are economies of scale and diseconomies of scale and how do they contribute to the U-shaped curve of long run average costs?
Distinguish between crowding out and crowding - How do automatic stabilizers differ from discretionary fiscal policy tools?
why do keynesian economists believe market forces do not automatically adjust for unemployment and inflation? what is
Describe at least two challenges of quantifying the rate of return for this public health initiative. Using the principles of rate of return, explain whether the financing this initiative is justified.
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Draw a diagram for two goods, with the quantity of good 1 on the X-axis. What will the indifference curves for substitute goods look like? What will they look like for complementary goods?
if unit labor cost in spain and portugal rise but unti labor cost in germany decline and other produce price remain
the total output and price produced in an oligopoly market characterized by a dominant firm and a fringe. SF represents the supply curve of the fringe, D is the market demand curve, DRES represents the residual demand curve of the dominant firm.
Milk becomes more popular amd better feed increases milk production. how do these events influence demand and supply describe how the equilibrium price and equilibrium quanity changes.
trudeaus body shop incurs total costs given by tc 2400 100q. if the price it charges for a paint job is 120 what is
Apply demand and supply analysis to make a range of market related decisions - to be able to identify and critically evaluate opportunities for specialization and exchange
If the supply curve shifts to the right and the demand curve shifts to the right by an equal amount proportionately, what will happen to equilibrium price?
What is the value of nominal GDP for year 2 - What is the value of the GDP deflator for year 1 using year 2 as the base year? Show your work.
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