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Suppose that you have a business in which you hire five workers, to whom you pay $4 an hour. Suppose further that you have overhead costs of $100 a day and that you pay $1 in materials cost fo each item that your business manufactures. Assuming that you keep all five workers, what is your average cost per unit of output if your plant turns out 10 items per 8-hour day? 100 items? 1,000?
Explain how the raising of short-term interest rates would affect all of the following in the United States: the inflation rate, the unemployment rate, the value of the U.S. dollar, net exports, and U.S. stock markets. Include at least one well-label..
Suppose that there is limited commitment in the credit market, but lenders are uncertain about the value of collateral. Each consumer has a quantity of collateral H, but from the point of view of lender, there is a probability a that the collateral w..
1. know how to do the staticdynamic efficiency problem.suppose the marginal benefit and marginal cost of extracting a
Based on Figure 1, at equilibrium with free international trade in the market for calculators the price per calculator in Mexico is the world price P = $3.50. When the price is P=$3.50 what is the quantity supplied by Mexician producers, Qs and what ..
what is the marginal utility of X? If a consumer moves downward along an indifference curve, what happens to the marginal utilities of X and Y? What happens to the MRS?
Suppose that your city government is interested in reducing littering. Currently, there is a $100 fine for littering and there is a 10 percent probability of being caught if you litter. If litterers are risk averse, which policy would lead to a large..
A Framework for Ethical Decision Making
Currently AIDS is spreading in china and India. Govt. of these nations fail to stop spread of AIDS what are likely consequences for future economic growth in china and India.
Below is a list of domestic output and national income figures for a given year. All figures are in billions. The questions that follow ask you to determine the major national income measures by both the expenditure and income methods. The results..
Make a list of businesses that provide goods and services that you or your family members use in a typical week.
q. a draw the supply and demand for apartments. assume in this market all apartments are identical so there is only one
if consumption in the changed to 43 while government expenditure and net exports remained constant, what would happen to investment as a share of GDP ?
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