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For the closed-economy, one-period model, suppose that U (C, l) = min (C, β × l), and F (K, N) = αK + δN, where β > 0, α > 0, and δ > 0.
Determine consumption, employment, output, leisure, and the real wage in a competitive equilibrium, and explain your solutions. Also draw a diagram with the consumer’s preferences and the production possibilities frontier, and show the competitive equilibrium in this diagram.
Assume which two people, Michelle also James every live alone in an isolated region. They every have the same resources available also they grow potatoes also raise chickens.
Assume that over a range of prices, the price elasticity of demand varies, total revenue curve over these two ranges of the demand curve as price fall.
Illustrate what is the relationship among a firm's total income, profit also total cost?
Illustrate what wage would a monopoly union demand Explain how many workers would be employed under union contract.
The alternative is to tie bonus pay to some absolute measure of performance. Discuss the merits as well as drawbacks of each approach.
At December 31, 2013 and 2012, G Co. had 66,000 shares of common stock and 6,500 shares of 8%, $100 par value cumulative preferred stock outstanding. No dividends were declared on either the preferred or common stock in 2013 or 2012. Net income for 2..
Suppose that the U.S. government decides to charge cola consumers a tax. Before the tax, 25,000 cases of cola were sold every week at a price of $7 per case. After the tax, 18,000 cases of cola are sold every week; consumers pay $8 per case (includin..
Do you think that Business practices in an Islamic country are likely to differ from Business practices in the United States? If so, how? Recognize why many economics believe that unrestricted free trade between nations will raise the economic welfar..
Show your budget constraint and your optimum point. Do you now work more or less than 10 hours? Does the government collect more or less revenue than before?
From California to New York, legislative bodies across the United States are considering eliminating or reducing the surcharges that banks impose on noncustomers, who make $14 million in withdrawals from other banks’ ATM machines. What would be the f..
q1. some restaurants offer all you can eat meals. how is this practice related to diminishing marginal utility? what
We are seeing a merging of media firms. For example, companies like Verizon now provide phone, cell, TV and internet. A common form of selling services involves putting them together in packages or “bundles” and offering them for a lower price than i..
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