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The manager of Green Chemical Co. has been informed that this year’s production target Q for organic fertilizer (in millions of tonnes) is 20. The manager is asked to allocate the production across the company’s two plants. The average total cost and marginal cost curves for each plant are described as follows: Plant A: ATC{A}= (20/q{A})+4 ; MC{A} = 4 Plant B: ATC{B}= ((5/q{B})+(q{B}/4)) ; MC{B} = q{B}/2 where ATC and MC are in dollars per million of tonne; and A q is the quantity produced (in millions of tonnes) by Plant A and B q is the quantity produced (in millions of tonnes) by Plant B. a) Graph the marginal cost curve for each plant. b) How should the manager allocate the production between the two plants so as to minimize total cost? What is the resulting total cost?
What government policies are available to reduce domestic demand in the medium run. Identify which components of domestic demand each of these policies affect.
Find equilibrium Y in the basic Keynesian model (round Y to the nearest whole number) What are the values of BS and NX at the equilibrium level of Y? Find the value of savings at equilibrium Y.
These 3 basic trade-offs include which goods or services are to be created, how to create them, also who gets them.
q1. the price of a laptop increases by 20 and there is a 40 drop in the quantity demanded. the price of a pack of
What would you expect to be the effect on interest rates if the Fed held the money supply constant.
Explain these varied outcomes in terms of how the market system answers the question "What goods and services will be produced?"
The annual income from a rented home is $24,000. The annual expenses are $6000. If the house can be sold for $245,000 at the end of 10 years, how much could you afford to pay for it now, if you considered 9% to be a suitable rate?
Chloe loves fashion and her scarf and hat must always match. Therefore she views scarves and hats as one to one complements U = min {S,H}. Graph Chloe's indifference curves for scarves and hats.
By showing the behavior of both a monopoly and a dominant firm in the same graph, show that monopoly profits are greater than the profit of a dominant firm in the no-entry equilibrium. Show how much consumers benefit from buying from a dominant firm-..
A sum of sufficient magnitude is to be invested now so that starting in 10 years from now an amount of $2500 per year can be paid in each of 8 succeeding years. The unexpended money remains invested at 6% compounded annually. How much must be allo..
The two goods are money and ice cream and eating more than a certain amount of ice cream makes the consumer sick. If you assume that the consumer can dispose of unwanted ice cream at no cost how do the indifference curves change?
First Bank has total deposits of $2,000,000 and legal reserves of $220,000. a. If the reserve requirement is 10 percent, what is the maximum loan that First Bank can make, and what is the maximum increase in the money supply based on First Bank's res..
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