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1. Which two markets make up the circular flow model? Who are the actors in the circular flow model?
2. What function does money play in an economy?
3. Michael and Angelo live in a small town in Italy. They work as artists. Michael is the more productive artist. He can produce 10 small sculptures each day but only 5 paintings. Angelo can produce 6 sculptures each day but only 2 paintings.
a. What is the opportunity cost of a painting for each artist?
b. Based on your answer in part a, who has a comparative advantage in producing paintings?
c. If the two men decide to specialize, who should produce the sculptures and who should produce the paintings?
The Coolidge Corporation is the only producer of a particular type of laser. The demand curve for its product is: Q = 8,300 -2.1P and it total cost function is TC = 2,200 + 480Q +20Q^2
Identify the system partitioning used, the device concept, and key details that affect either the package design or the choice of device fabrication technology.
What is the own price elasticity of demand when Px = $354? Is demand elastic or inelastic at this price? What would happen to the firm's revenue if it decided to charge a price above $354?
To what extent does the H-O-S theory and the Stolper-Samuelson theorem contribute and/or fail to contribute to our understanding of the impact of trade?
Once again, assume Cournot competition in an industry in which market demand is described by P = 260 - 2Q and in which each firm has a marginal cost of 20. However, instead of two firms, let there now be four. a. What is the one-period Nash equilibri..
Draw a well-labeled graph of the situation in Kawmin if the nation does not allow trade. Calculate the following: the equilibrium price and quantity, consumer surplus, producer surplus, and total surplus.
What are the potential downfalls of project crashing?
An industrial machine costing $10,000 will produce net cash savings of $4,000 per year. The machine has a five-year useful life but must be returned to the factory for major repairs after three years of operation. These repairs cost $5,000.
How many different formulas can you think of for allocating a reduction in global CO2 among the nations of the world? Compare and contrast these in terms of efficiency and equity. Consider the equiproportionate and equimarginal principles, populat..
1.Project K costs $60,000, its expected cash inflows are $13,000 per year for 7 years, and its WACC is 9%. What is the project's NPV 2.Project K costs $51,955.53, its expected cash inflows are $12,000 per year for 8 years, and its WACC is 11%. Wha..
ECO 314: Energy and Resource Economics - Create a single spreadsheet workbook with the following tabs: Canada, U.S., China, India, U.K., Germany, France, Spain, Denmark, Japan and World.
(Continuation of previous exercise) Suppose that the average price of a VCR during the same time period was governed by the rule p = 820 - 50t.
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