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In 2013 and 2014, a federal judge ruled that Apple colluded with five major U.S. publishers to drive up the prices of e-books(which could be read on Apple's Ipad). Apple collects 30% commission on the price of a book from the publisher. Why would Apple want to help publishers raise their price? Given Apple's commission, what price would a book cartel want to set? (HINT: the marginal cost of an e-book is virtually zero)
Suppose two countries, A and B, with the same production function Y = K? L1?? . The value of ? is 0.30, the growth rate of population is 2% and the depreciation rate is 5%. Show that with price-taking firms the share of labor must be 1?.
What influence did the elements of the Juran Trilogy have, if any, on the company's quality training curriculum? If the company does not have a quality curriculum, why do you believe, based on your research, it adopted the Juran Trilogy but did not m..
Consider changes in the supply of fresh orange juice. Give an example of a change in the price and quantity supplied that would demonstrate each of the following. Elasticity, Inelasticity
Identify the different types of risk that a business might encounter in the marketplace and identify whether they are controllable or uncontrollable. How can a business incorporate risk into the decision-making process?
The term gross domestic product (GDP) refers to: How has the measure of the GDP changed over the past decade?
Suppose it is believed that the U.S. dollar will steadily depreciate against the euro at a rate of 2% a year over the next three years. After that, people expect the dollar–euro rate to be steady. Ten-year U.S. government dollar bonds yield 8%. What ..
What is the liquidity trap and why is it so dangerous? How does expected deflation set a floor on the real interest rate that the Fed can set? Why is fiscal policy crucial in a liquidity trap? What is meant by a deflationary spiral.
If real GDP in 2004 using 2003 prices is higher than nominal GDP of 2004, then
Suppose that a country produces wine (W) and cheese (C) using its supply of 400 hours of labor (labor hours) and 600 acres of land (acres) (T). To produce a gallon of wine requires 10 hours of labor and 5 acres of land. A pound of cheese requires 4 h..
Abstracting from any other factors, what is the range for rates of exchange of modems for DVD drives that will now include Northland
Beth is a college student who lives in San Francisco and provides math tutoring for extra cash. At a wage of $30 per hour, she is willing to tutor 6 hours per week. At $50 per hour, she is willing to tutor 16 hours per week. Using the midpoint method..
A monopolist with a straight line demand curve finds it can sell one unit at $7 each or seven units at $1 each. It's marginal cost is constant at $6 per unit. A monopolist would produce how many units? And charge? A perfect competitor would produce h..
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