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1. When an investment is sunk and durable, why is it a mistake to assess the investment only on the basis of economic profits in the first year? What is a better criterion? Why?
2. Explain why under perfect competition in the long run the PR statistic should equal 1.
Create graphs and tables to illustrate costs and revenues for firms in different market structures. You have learned about the market structures of pure competition, monopoly, monopolistic competition, and oligopoly. In this assignment, you will appl..
Suppose it costs $30 for each lobster trap set. Lobsters sell for $15. If X traps are set, the harvest rate of lobsters, L, as a function of the number of traps, is given by: L = 45 X –X2. With no restrictions on the number of traps, and open access ..
Using the national income identity find the value of imports (IM). Illustrate what is the current account balance. Illustrate what is the savings rate.
The government often provides goods that are nonrivalrous and nonexclusive to overcome which market failure?
Find out equilibrium cost and quantity. Illustrate on your graph how a rise in cost of automobiles would affect gasoline market.
The majority of the world's diamonds comes from Country A and Country B. Suppose that the marginal cost of mining a diamond is $1,000 per diamond and that the demand schedule for diamonds is as follow there is moreshow problemThe majority of the worl..
Specify the main economic (not political) drawback of an economic integrations among nations? Explain. What (what circumstances) makes adopting and implementing common macroeconomic policies (monetary, exchange rate) challenging in a Common Market ar..
the city government is considering two tax proposals- a lump-sum tax of 300 on each producer of hamburgers.- a tax 1
When considering the decision whether to buy a new press machine for your publishing house, which of the following costs will you NOT consider?
Illustrate what are the optimal prices for each product if you sell these products separately. What are your firm's profits. Explain.
Average revenue schedule of a simple monopolist is : What is the market-clearing price for the monopolist? How much will the monopolist produce? What is the net profit of the monopolist?
q1. the standard of living for the poorest third of the world is falling behind the standard for the rest of the world
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