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Expected Value
- The weighted average of payoffs or values resulting from all the possible outcomes.
- An Example
- Success -- stock price increase from $30 to $40/share
- Failure -- stock price decrease from $30 to $20/share
how do oligopolistic market and monopolistic competition react to change in demand and supply ?
factors that affects the volume of production
three marginal conditions of pareto optimality
The US government decides to subsidize solar panels. For each unit sold, the government pays $T to the buyer. Using a graph, show how this subsidy affects i) consumer surplus, ii)
disadvantages of monopsony
During the 1990s, technological advance reduced the cost of computer chips. Explain, with the use of supply and demand diagrams, how the following markets are affected in terms of
What is the difference between change in quantity demanded and change in demand
You are the CEO of Comchip, a firm that sells specialized computers. Each of the firm's computers contain a unique chip that is produced at Comchip's west coast plant at a cost of
derivation of demand curve
clarify the opportunity cost theory
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