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Part I. Consider the values in the following table for the Winsome Widget Factory. Winsome Widget Factory Output Long Run Average Total Cost 0 ------------------ 5 170 10 110 15 85 20 83 25 78 30 75 35 75 40 80 45 82 50 97
a. Over what output levels do economics of scale occur? Explain.
b. Over what output levels do constant returns to scale occur? Explain.
c. Over what output levels do diseconomies of scale occur? Explain.
Assuming the opportunity interest rate is 8%, what is the present value of the second alternative mentioned above? Which of the two alternatives should be chosen and why - How would your decision change if the opportunity interest rate is 12%?
Explain the process of revenue at NSU, focusing on the relationship between the increased revenue from students enrolling at NSU despite the higher tuition and the lost revenue from possible lower enrollment.
Think about the ethical implications of research. Are there research practices that are ethically questionable - what, and how? What can you do to make certain that your research is ethical
Illustrate using a fully labeled supply and demand graph (label all the axes and any lines you put in your graph) what such an artificial price looks like - What is the equilibrium wage
Economists generally dislike the restriction of trade because it
Describe as completely as you can what an economist means by demand and discuss (this implies that you are able to discuss why the factor causes the shift and describe the direction of the shift
The typical demand function of match tickets of FC Barcelona is q (p) = 200.000- 10.000p. The goal of managers is to maximize their revenue. The total capacity of the stadium is 100.000 viewers. Write the inverse demand function. What is the new inve..
How do stocks and bonds differ in terms of the future payments that they are expected to make? Which type of investment (stocks or bonds) is considered to be more risky?
For each of the following utility functions, draw the three indierence curves that correspond to the three stated utility levels, labeling each curve with the corresponding utility level. Label any intercepts or inks in the line to fully identify ..
what economic differences are there between the effects of imperfect information and asymmetric information? can the
Calculate the price elasticities of demand and indicate whether your result shows that demand is price inelastic, price elastic, or unitary elastic - determine exactly how many cookies Paco will eat every day, it is possible to determine the maxim..
Will firms in a price-taker market be able to earn profits in the long run? Why or why not? What determines profitability? Discuss.
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