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Consider a firm which is a monopolist in the output market and monopsonist in the factor market. The monopolist's production function is y = f(x) = x/2 where x denotes the quantity of the factor and y denotes the quantity of the output. The inverse demand function for the monopolist's output is p(y) = 210 - 3y and the inverse factor supply function is w(x) = 10 + 4x. a) Find the quantity of output to maximize the firm's profit. What quantity of the factor does the firm use, what price of the output does it charge, and what price does it pay for the factor? b) Find the values of p, w, x, and y that correspond to the competitive equilibrium
Is her assumption likely to be correct or incorret
The villagers can buy or sell corn at the world price
Today, the Federal Reserve announced that it is reducing the discount rate by 0.5%. How would you expect this announcement to affect the value of your bond?
explain how the circular flow diagram relates to the current economic situation. using the circular flow diagram
One additional advantage Microsoft has is its ability to create a variety of Vista products, some of which have more features than others. Does it make sense for Microsoft to differentiate its product into basic and ultimate Vista editions
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Since 1997, at least three million vehicles have been recalled due to air bag related troubles. Of these, roughly half were due to troubles of the sort that only time and road experience are likely to reveal.
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Determine how supply and demand can affect the prices of these homes. In a PowerPoint presentation, submit data findings that include economic factors within that area that may influence your decision, or factors that have prohibited an area to be..
the future 2055 the u.s. economy is at full employment. president north west is spending billions of dollars on
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