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Q1. Frank Gunter owns an apple orchard. He employs 57 apple pickers and pays them $15 per hour to pick apples, which he sells for $3.00 per box. If Frank is maximizing profits, what is the marginal revenue product of the last worker he hired? Elucidate what is worker's marginal product?
Q2. If the U.S. dollar were to appreciate substantially, what steps could a domestic manufacturer like Indiana, Cummins Engine Co. of Columbus which in advance to diminish the consequence of exchange rate fluctuation on company profitability?
Q3. If Boeing's dollar aircraft prices increase 20 percent and the yen/dollar exchange rate declines 15 percent, what effective price increase is facing Japan Air Lines for the purchase of a Boeing 747? Would Boeing's margin likely rise or fall if the yen then depreciated as well as competitor prices were unchanged? Why?
The market demand and supply function for VCR movie rentals are: QD= 10 - 0.04p and QS 3.8P = 4. Calculate the equilibrium quantity and price.
Explain the logic of the Ricardian view of government debt and evaluating its practical relevance.
How much does consumption change this year in absolute dollars ($ ΔC) as a result of a $5,000 annual tax cut to your income, if the tax cut.
Suppose she is offered a new job that would pay her $15,000 and would bring her earnings high enough so that she no longer qualified for any welfare benefits.
What factors influence Under Amour's ability to make an economic profit in the cross-training shoe market.
Summarize in words the predictions and limitations of the theoretical framework developed for the first exam: that is the predictions for the effect of capital accumulation.
Recent survey of high school students, it was found that the average amount of money spent on entertainment each week. Values are representative of all high school students.
How can two countries both be better off as a result of trade? How can tariffs protect U.S. jobs? Do tariffs lead to a net increase in jobs?
Indicate whether there will be economies of scale, diseconomies of scale, or constant returns to scale if the facilities are built optimally.
If Sammy refuses to contribute to the butterfly garden, he'll not be able to enjoy its benefits if it is built.
If the government uses a tax to get producers to internalize their externality, what is the net price received by producers.
How many units of good X will be purchased when Px=4910, determine the inverse demand function for good x.
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