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In addition to the hard-drive-based Ipod, Apple produces a flash-based audio player. Its 512MB iPod Shuffle (which does not have a hard drive) sold for $99 in 2005. According to iSuppli, Apple's per unit cost of manufacturing the Shuffle was $45.37. What was Apple's price/marginal cost ratio? What was its Lerner Index? If we assume (possible incorrectly) that Apple acted like a short run profit maximizing monopoly in pricing its iPod Shuffle , what elasticity of demand did Apple believe it faced?
If we accept the conclusion that librarians are more vital to the country than professional football players, explain why are librarians so poorly paid in comparison.
if the demand for labor is elastic because the demand for labor will decrease more when you have elastic demand than if demand were inelastic.
You have decided to buy a small apartment building for $100,000 near a local college. You used $10,000 as a down payment and obtained a mortgage from a local bank for the remaining $90,000. The annual mortgage payment to the bank is $11,500. You expe..
Zelda Industries is the only firm of its kind in the world. Due largely to historical accident, it began producing streganomas in 1985 in a vacant warehouse. Virtually anyone with a degree in college chemistry could easily replicate the firm's formul..
Cost minimization for a given level of production is equivalent or identical the concept of product maximization for a given cost level. True of False. Explain. Please offer examples and the use of graphs where necessary, and state any assumption(s) ..
If an employee is transporting company materials and gets into a car accident, should the company be held responsible and liable for any damages? Would your stance differ depending on if the employee were on or off the clock?
Which of the following is a rate that should theoretically serve as a floor for the Fed funds rate? A dealer is said to be running a "matched book" if. An increase in the supply of reserves in the banking system leads to an increase in the Fed funds ..
The market for pumpkins is a competitive market where the quantity of crates demanded is given by Qd = 18.2 – 0.2P and the quantity of crates supplied is given by Qs = (P/6) – 0.5. Provide the inverse demand and inverse supply functions for pumpkins...
Your firm is one of 100 identical firms operating in the short run in a perfectly competitive market. Your total cost function (short run and long run) is C = 800 + 25 q + 0.5 q2, and your marginal cost function is MC = 25 + q. Find the lowest price ..
Other things remain the same, what would be the short-run effect of a permanent increase in the Japan’s money supply on the Yen/Dollar (¥/$) exchange rate? What is the impact on the Yen/Dollar (¥/$) exchange rate if real GNP in Japan, due to the stim..
Can you offer another reason why the New Jersey dealer might not have wished to follow a no-haggling policy.
Calculate the elasticity for each variable at that point and briefly comment on what information this gives you for each variable.
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