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A firm has $1.6 million in sales, a Learner index of 0.55, and a marginal cost of $45, and competes against 1000 other firms in its relevant market.
a. What price does this firm charge its customers?
b. By what factor does this firm mark up its price over marginal cost?
c. Do you think this firm enjoys much market power?
If the treasury bill has 35 days remaining to maturity and using a trading year of 360 days calculate the coupon yield.
Using the value of MPC = 0.8, and knowing the difference between the values of expenditure multiplier and the tax multiplier, it can be safely stated that the reduction of taxes by $400 billion (other things staying the same), Estimate increased leve..
What are the ways that IT can help comply with legal requirements and social responsibilities surrounding the sales of alcohol?
Modeling what is a Market. In modern usage, a commodity is anything of use that is available for purchase and sale in standardized form. Participants: Who trades with whom
You have a portfolio with a beta of 1.78. What will be the new portfolio beta if you keep 91 percent of your money in the old portfolio
Assume that an economy is characterized by the following equations: C = 100 + (2/3)(Y – T) T = 600 G = 500 I = 800 – (50/3)r Ms/P = Md/P = 0.5Y – 50r. Write the numerical aggregate demand curve for this economy, expressing Y as a function of G, T, an..
Problem 1: Assume that the long run total cost function for each firm in a perfectly competitive industry is LRTC = q3 - 4q2 + 8q and the market demand function is Q = 2000 - 100p. Calculate:
Using your knowledge of utility and consumer behavior and the data below, show exactly how you would spend your income, on which goods and why. Be sure to calculate the MU/P for good X and good y, and then proceed. (20 pts) Q MU x MU y 1 90 150 2 84 ..
A tax system is called progressive if
Suppose that the demand curve for seats at the Frederick Keys minor league baseball stadium is given as Q^d = 6,000 - 200p. How many fans would attend a game if tickets were free and there was no limit on the number of fans permitted in the stadium? ..
In the absence of government intervention, goods with external costs tend to be
Explain why purchasing power parity measures of income levels tend to show smaller differences between poor and rich country
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