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Regulation Costs. Kingston Components, Inc., produces electronic components for cable TV systems. Given vigorous import competition, prices are stable at $4,500 per unit in this dynamic and very competitive market. Kingston's annual total cost (TC) and marginal cost (MC) relations are:
The Credit Company offers to loan a college student $6300 for school expenses. Repayment of the loan will be in monthly installments of $266.73 for 30 months. What nominal interest rate is being charged on this loan? The nominal interest rate that is..
Most countries import substantial amounts of goods and services from other countries. Yet the theory says a nation can enjoy a high standard of living only if it can produce a large quantity of goods and services itself. Can you reconcile these two f..
At his current consumption basket, his marginal utility for hot dogs is 5 and his marginal utility for sodas is 3.
CAFTA (Central American Free Trade Agreement) will lead to free-trade between U.S. and Central America. Suppose there are two factors: skilled and unskilled labor and U.S. is skilled-labor abundant. There are two goods: apparel and computers, and app..
Consider a closed economy which can be characterized by the following equations: C = 400 + 0.8YD I = 600 + 0.1y- 1000r G = 300 T = 125 (M/P)d = 0.2Y-6000r (M/P)= 400 a. Solve for the goods market equilibrium and state the equation for the AD and IScu..
An estimate of the time required to perform a certain job is needed. The study yielded a mean of 6.4 minutes and a standard deviation of 2.1 minutes. The desired confidence is 0.95. How many observations will be needed if the desired maximum error is..
The private marginal benefit for commodity X is given by 50-5X, where X is the number of units consumed. The private marginal cost of producing X is constant at $10. For each unit of X produced, an external benefit of $5 is imposed on members of soci..
Is the market for coffee perfectly competitive. Elucidate does the coffee market meet all six conditions of a perfectly competitive market.
Suppose that in the year 2010 the number of births is temporarily high. Explain how does this baby boom affect the price of babysitting services in 2015 and2025.
Explain how the change in the required reserve ratio would influence the business price levels and consequently the price levels in the economy. Determine the impact the interest rate would have in relation to the copy center's borrowing decision.
When you apply conventional finish to the wood you use traditional lacquers. The California Division of ABC has changed from conventional lacquers.
What may account for the difference in the wages between two industries that have been highly competitive? Identify and describe each factor and explain its effect on wages. If you make any assumptions about the scenario, state them.
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