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Q. Industry-land was so named because it is highly industrialized. It is a world leader in production of manufactured goods. If industry-land put all its productive efforts into manufactured goods, it could produce 1,000 units per year. To meet needs of its own citizens at their current level of consumption, industry-land needs 200 units each of raw materials, agriculture products and manufactured goods. Total opportunity cost of 200 units of agriculture products and 200 units of raw materials is 80% of manufactured goods, or 800 units. Draw a production possibility curve?
Find the optimal output and retail price for a vertically integrated monopolist, either using a graph or calculus. Illustrate answer with graph.
Suppose the firms compete in quantities. If firm 1 deviates from collusion in one period, what is the profit of firm 1 in that period in subsequent periods.
Assume which all other banks hold only the required amount of reserves. If Nan Bank Inc. decides to reduce its reserves to only the required amount, by how much would the economy's funds provide increase.
If you each charge a high price, you each earn profits of $200. If you charge different prices, the one charging the higher price loses $50 and the one charging the lower price earns $300.
Illustrate what are the most important determinants of the demand function that a firm faces for the commodity it sells.
Firms raise capital from investors by issuing shares in the primary markets
Elucidate what would be the immediate and long run effects on c, k, and y. Explain by drawing the path of these variables. Consider that you impose the new saving rate.
Compute total revenue, total cost also profit at each quantity. Illustrate what quantity would a profit-maximizing publisher choose. Illustrate what price would it charge.
The Investment demand curve is a useful tool to summarize an important and complex relationship in the economy.
Illustrate what are the Joseph's demands for roses also tulips as a function of prices also income.
what happens to gross debt as a percentage of GDP. Elucidate what happens to the level of debt held by the public as a percentage of GDP.
If the potential recipient decides to work, she will receive a wage of $8 per hour. Show the budget line for the potential recipient using the above information.
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