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suppose tht businesses buy a total of 100$ billion of the four resources(labor, land, capital and entreprenrial ability) from households. If households receive 60$ billion in wages, 10$ billion in rent and 20$ billion in interest, how much are households paid for providing entrepreneurial ability?
Two firms are competing in an oligopolistic industry. Firm 1, the larger of the two firms, is contemplating its capacity strategy, which could be either "aggressive" or "pas
Jane quit her job at IBM where she earned $50,000 a year. She cashed in $50,000 in corporate bonds that earned 10% interest annually to buy a mini-bus. Jane has decided to b
Find the optimum commodity purchases for a consumer whose utility function and budget constraints are U=(x^1.5)(y) and 3x+4y=100 respectively. a. Show that the first-order c
There is also a slim chance the legislature will provide the full funding and bonds don't need to be sold, a 5% chance. There is also a 1% chance that a donor will come forw
The firm's production manager claims that the firm's average cost of production is minimized at an output of 40 units. Furthermore, she claims that 40 units is the firm's pr
Consider the following overlapping generations economy with two assets, capital and money. The number of consumers in each generation is Nt = 1. Consumers are endowed with y
Assume that the firm would like to maximize its flow rate while maintaining a daily production mix of 3A's for 2B's. What is the bottleneck resource? What is the maximum flo
A retirement income of $500,000 a year does not have as much buying power in the future as it does today. Suppose this retirement income is 40 years in the future and the in
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