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In a perfectly competitive industry, demand is:P = 850-2QAnd Industry supply is :P = 250 +4Q
The supply is simply the sum of the marginal cost curves of all the firms in the industry. Suppose all the competitve firms collude to form one single monopoly firm. (Collusion changes neither the demand nor the cost conditions in the industry.) Discuss the economic effects of the change in market structure. More specifically, explain the possible changes in the market price and output of the commodity.
suppose investment, in addition to having an autonomous component, also has a component that varies directly withthe level of real GDP. How would this affect the size of the government purchase and net tax multipliers
What is the tax incidence of an excise tax when demand is highly inelastic Highly elastic What effect does the elasticity of supply have on the incidence of an excise tax What is the efficiency loss of a tax
Examining the current market situations of "Starbucks" competition can take many forms. value competition includes collusion, price leadership, loss leaders, price discrimination.
Compute output, marginal cost, average cost, price, and profit at the average cost-minimizing activity level. Compute these values at the profit-maximizing activity level.
According to the articles, why did prices rise sharply over the past 5 years? Answer in terms of a supply-demand analysis, saying what specifically has happened to supply and demand and how this has increased prices.
In other words, would the classical economist feel that contractionary monetary policy has the same impact on the economy as the Monetary Transmission Mechanism discussed in the previous question
Calculate total cost and average total costs if demand is 450 per month and what happens to average total costs (ATC) when your production goes up from 250 to 450?
In the long run, the Martha Mowers can assemble 300 mowers per week at a total cost of $18,000, 400 mowers at a total cost of $24,000, or 500 mowers at a cost of $35,000.Plot points of the long-run average cost curve for these three levels of outp..
What are the strengths of the CPI? What are the characteristics of these strengths? Same for weaknesses?
Professional football teams sometimes charter airplanes to take them to their away games. Would you feel safer on a United Air Lines plane that had been chartered by the Washington Redskins than on a regularly scheduled United Air Lines flight
Describe the major characteristics of monopolistic competition and oligopoly.
Plot a graph of GDP per capita against life expectancy for the countries shown. Does your plot con?rm the Pritchett and Summers ?nding?
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