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The semiconductor market consists of 100 identical firms, each with a short-run marginal cost curve SMC(Q) = 4Q. The equilibrium price in the market is $200. Assuming that all of the firm's fixed costs are sunk, what is the producer surplus of an individual firm and what is the overall producer surplus for the market?
Suppose demand for widgets is given by the equation P=20-0.5Q. Originally, the price of the good is $10 per unit. When a tax of $2 per unit is imposed, the price of the good rises to $12 per unit. How much total tax revenue is raised by the tax
Rubax, a United States producer of athletic shoes, estimates the following linear trend model for shoe sales:
determine how much the park could afford to spend now on the new technology, if the cost of annual consulting services will be reduced to $30,000 per year. assume the park uses an interest rate of 15% per year and it wants to recover its investmen..
Which Linux distro might be best for your Mom to use as a Windows replacement?
a) Based on these estimates, what is the maximum share price that Happy Times should be willing to pay for Joe's?
If firm A decides to adopt the innovation and firm B decides not to adopt it, A earns $20 (minus the cost of the innovation) while B earns $0. If firm A adopts the innovation and firm B adopts it as well, each firm earns $15 minus the cost of the ..
Assume the industry demand for a product is P = 1,000 - 20Q. Assume that the marginal cost of product is $10 per unit. A. What price and output will occur under pure competition What price and output will occur under pure monopoly
As head of the planning division of Eastern Motors, your job is to determine where to locate a new plant. The only inputs used in your cars are steel and labor and the production function is Cobb{Douglas where f(S;L) = S^0.5L^0.5
Digital camers have taken over the majority of the point-and-shoot camera market. One of the important features of a camera is the battery life as measured by the number of shots taken until the battery needs to be recharged.
The following table gives the joint probability distribution between employment status and college graduation among those either employed or looking for work (unemployed) in the working age U.S. population for 2008.
Characterize the Pareto optimal allocation, and show that the equilibrium growth rate in Proposition 13.6 is less than the growth rate in the Pareto optimal allocation.
Between October 2004 and 2005, real GDP in the United States increased by 3.6 percent, while nonfarm payroll jobs increased by only 1.4 percent. How is it possible for output to increase without a proportional increase in the number of workers
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