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There are 300 purely competetive farms in the local dairy market. Of the 300 dairy farms, 298 have a cost structure that generates profits of $24 for every $300 invested. What is their percentage rate of return?
The other two dairies have a cost structure that generates profits of $22 for every $200 invested. What is their rate of return earned by most firms in the industry in the long-run equilibrium?
a. Find the equilibrium price and quantity. Compute consumer surplus, producer surplus, and totalsurplus in the market equilibrium. b. For each unit of Negext produced,4 units of pollution are emitted, and each unit of pollutionimposes a cost on s..
A man is fired from his job because he was late for work too many times; While he is searching for another job, he would not be counted in the labor force because his employer had a legitimate reason for firing him.
Consider a simple economy with only Robinson Crusoe, coconuts and leisure. He has utility U (c,l) = c^(1/2)*l and a production function C=L^(1/2), where c is the amount of coconuts he consumes, l is the amount of leisure he consumes, and L is the ..
During the period of airline regulation, the government set airline fares and regulated an air carrier's entry into and exit from particular markets.
In Westlandia, the public holds 50% of M1 in the form of currency, and the required reserve ratio is 20%. Estimate how much the money supply will increase in response to a new cash deposit of $500 by completing the accompanying table
What is the yield on a $1,000,000 municipal bond with a coupon rate of 8%, paying interest annually, versus the yield of a $1,000,000 corporate bond with a coupon rate of 10% paying interest annually? Assume that you are in the 25% tax bracket.
Describe the effects of a price ceiling also a price floor on a market. As for what happens with pricing is different than equilibrium, a price Floor is Minimum wage.
Elucidate the importance of competition among firms. Explain whether the competitive environment in this industry benefits society or not.
Find the probability limits of W1 and W2. State whether these estimators are consistent or inconsistent. Find Var(W1) and Var(W2). Argue that W1 is a better estimator than Y if ? is "close" to zero for any value of n. (Hint: Compare the Mean Square ..
Explain how the aggregate expenditure function and the aggregate demand curve would shift when there is a decrease in the nominal money supply by the Federal Reserve.
What is the major tool of monetary policy, and how would it operate in the context of a tight money policy.
Calculate the duration for a $1,000, 4-year bond with a 4.5 percent annual coupon, currently selling at par. Use the bond"s duration to estimate the percentage change in the bond"s price for a decrease
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