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Let us examine the market for smart phones. Assume that the inverse market demand function is given by p = 240-2Q. Initially, firm A and firm B produce at equal unit cost, c0. After investing heavily in R&D, firm A has managed to reduce its unit production cost to c1 = $40 < c0. For which values of c0, firm A is innovation can be classified as drastic (major), and for which values of c0 the innovation is classified as no drastic (minor). Prove your result using the definition.
q. each day matt eats lunch at school. he likes only twinkies t and soda s and these provide him a utility of utility
Using simple money multiplier, calculate total change in money supply resulting from $1000 initial deposit. Explain how would hold this level of excess reserves affect total change in money supply.
Talk about why a government may want to impose price control. But in this case, does the Mugabe government achieve its intended purpose
Willie will receive all his operating expenses, and in addition will receive $2,000 each year for the decline in value of the automobile.
A business called TopClass, Inc. has the following Costs and Benefits: Initial Cost: $70,000, Annual Costs: $7,500, Salvage Value: $10,000, and Benefits: $25,000 for years 1 and 2, $35,000 for years 3 and 4, $25,000 for years 5 and 6. The MARR is 10%..
How do we deter free riders? What is the cost (to society) of free riders? Give an example of a public good that has a large amount of free riders. How can we change this?
If the price of gasoline doubled, how would consumption of (a) cars, (b) public transportation, and (c) in-theatre movies be affected? How quickly would these adjustments be made? If you owned a movie theatre would you want the demand for movies to b..
Describe the roles of government bodies which conclude the national fiscal policy
What do Keynesian and New classical economists believe about macroeconomic policy. Which role of thinking do you think you would fit in?
What factors will contribute to the riskiness of these bonds.
What would happen if the government chooses to increase the number of years that a firm can enjoy patent protection from 20 years to 25 years?
illustrate what would take place in the US marketplace for loan able funds. In particular to US interest rate, savings also investment.
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