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1. Suppose the demand for a product is given by P = 40 4Q. Also, the supply is given by P = 10 + Q.?
A) What is the equilibrium price and quantity of the product??
B) What is the price elasticity of demand at the equilibrium price???
2. For the next 3 questions, assume that there is a $10 per unit excise tax levied on the consumers of the product?
C) What price will buyers pay after the tax is imposed??
D) What is the deadweight loss created by the tax??
E) What is the quantity of the good that will be sold after the tax is imposed?
Suppose a persona quits a job paying $40,000 per year and starts a business with $100,000 withdrawn from a money-market account earning 8 percent per year.
you are the manager for dunkin donuts and know the following
International trade is most likely to occur whenever a. one of the trading nations is self-sufficient b. all of the trading nations are self-sufficient c. one of the trading nations gains from trade d. each of the trading nations gains from trade
Which of the following curves- average fixed cost, average variable cost, average total cost, and marginal cost- would shift as a result of the lump-sum tax Why Show this in a graph. Label the graph as precisely as possible.
What is shirking? If the managers of a firm are attempting to maximize its profits, will they have an incentive to limit shirking? How might they go about doing so?
Analyze the makeup and policies of the European Union and determine if all countries have benefited from their membership (larger vs. smaller countries)
Suppose a firm in the short run under perfect competition with P=250, TC=1,000 + 100Q + 2.5Q^2 , and MC=10+5Q-Find out the level of output that the firm needs to produce to maximize profits?
We make choices as consumers every day. Opportunity cost is defined as a person's "next best alternative" or "the cost of what you give up when you make a choice."
Using the AD-AS model explain how the economy will adjust in the long run. Should the government undertake any proactive fiscal or monetary policy in this situation?
1. if an economist says the higher the price of oranges the fewer oranges individuals will buy ceteris paribus this
Operating Cash Flows. Laurel's Lawn Care, Ltd., has a new mower line that can generate revenues of $120,000 per year. Direct production costs are $40,000 and the fixed costs of maintaining the lawn mower factory are $15,000 a year.
The manager of a global opportunities for a U .S. manufacturer, who is considering expanding sales into Europe. Your market research has identified three potential market opportunities:
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