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Consider a perfectly competitive firm with the short-run cost function, C(q) = 500 + 40q + 10q2. At the market equilibrium price P* = 80, what is the profit at its optimal quantity supplied?
Corruption, the Merriam Webster dictionary (n.d.) defines corruption as the "impairment of integrity, virtue, or moral principle, or inducement to wrong by improper or unlawful means (as bribery). Many argue that corruption is a major problem in busi..
If the firms form a cartel to maximize industry profit, what is the industry marginal revenue at the profit-maximizing level of output?
What are the three basic functions of money? Describe how rapid inflation can undermine money’s ability to perform each of the three functions. What are demand shocks? Give an example of a positive and a negative demand shock. What is the difference ..
Suppose that people derive utility from two goods---housing (H) and all other consumption goods(C). Show a typical consumer's allocation of his or her income between H and C.
q1. suppose that disposable income consumption and saving in some country are 200 billion 150 billion and 50 billion
Review options available for managing this foreign-currency liability. Is there any reason to prefer one course of action over another.
How much will total output increase in terms of percent? What happens to the rental price of capital? What happens to the real wage?
By what factor does this firm mark up its price over marginal cost? c. Do you think this firm enjoys much market power? Explain.
The initial cost of constructing a permanent dam (i.e., a dam that is expected to last forever, perpetuity) is $425 million. The annual net benefits will depend on the amount of rainfall: $18 million in a “dry” year, $29 million in a “wet” year, and ..
The U.S. continues to experience a relatively high level of unemployment in its workforce. When analyzing a two-good production possibilities curve (PPC), where would you expect to find a point that reflects this unemployment?
q1. assume that restaurant charges 11 meal for 180 meals as well as that the marginal cost of the 180th meal is 8 in
Explain the effects of monetary policies on the economy's production also employment
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