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A fast-food company spends millions of dollars to develop and promote a new hamburger on its menu only to find out that consumers won't buy it because they don't like the taste. From an economic prespective, the company should?
Elucidate the difference between economic profits and accounting profits. Using the concepts of relative elasticity and relative inelasticity, explain price elasticity of demand.
Write a brief for the Central Banker of Ireland, outlining your recommendation on the interest rate that should be set at the next policy meeting.
Assume that the working age population in Tiny Town is one hundred people. If 25 of these people are not in the labor force,
A software firm earned ten million this year. Suppose the growth rate of the software firm and the interest rate are both constant and the software company will be business for years to come.
Explain the effect of such a shock on the equilibrium of the DAD-DAS model - Suppose that at time t-1 inflation is zero and there were no shocks in the economy.
Show that the government can achieve the social optimum by setting the correct tax prices a, b, and c. What prices should it set?
Consider a bank that receives an initial deposit of $1,000 and loans out the maximum from this that it can. This in turn is deposited into a second bank (which may technically be itself, but that doesn't change anything), which then loans out the ..
What environmental Factors (both internally and externally) are affecting the industry? How will technology affect this industry? What do you see as the biggest Strategic Issue Facing Coinstar and its future?
Compute the employment rate (i.e., number employed: population) in each year? How can employment rate may go up or down in the unemployment rate stays the same? How can employment rate go up if unemployment rate also goes up?
After consuming one Coke, John has a total utility of 10 utils. After two Cokes, he has a total utility of 25 utils. After three Cokes, he has a total utility of 50 utils. Does John show diminishing marginal utility for Coke.
Explain how would you relate the hiring practices of that industry or industries to fluctuations in the business cycle.
If the demand for a domestic currency decreases in a nation using a fixed exchange rate system, what must the central bank do to keep the currency value steady.
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