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1) Why do you think that whenever the government wants to increase their revenue they usually decide to increase the tax on items such as gas, tobacco products and/or alcohol?
2) Why is it unlikely that a firm would sell at a price where its demand curve happens to be price inelastic?
Compute the (point) price elasticity of demand when price is $700. Is demand elastic or inelastic. Find the point at which point elasticity is equal to -1.
The equilibrium allocation is stationary over time. Write down the market-clearing condition for an arbitrary date t. Find the real rate of return of at money at the monetary equilibrium. What is the gross rate of in ation?
Compute the equilibrium level of income for the open economy aggregate expenditure model.
Derive the long-run average cost and marginal cost equations, and plot them on a graph. At what level of output does average cost reach its low point?
If the company installs new equipment, FC rise to $2000 and AVC drops to $2.25, what is the break-even point and at what production level should the company switch from the old machine to the new?
The advantages or disadvantages of buying imports versus buying domestic products in relation to the fashion industry.
Why do proponents of active policy recommend government intervention to close an expansionary gap. Some economists argue that only unanticipated increases in the money.
What is the dollar value of the deadweight loss when output level Q3 is produced? What is the total surplus when output level Q3 is produced?
Economic laws are established in order to make successful prediction of the outcome of human action.
The GDP is a total market value of final goods and services produced within a country over time. Why is this a reflection of this country's cost of living so varied making expenditures.
A small town in rural lowa has one large factory that employs the workers in the town.Major League Baseball is an example of what labor market model?
q.the money demand as well as curve is given by the following equation md 5000 - 10000r 5y md is money demand as well
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