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In the long run, if price is less than average cost a. the market must be in long-run equilibrium. b. there is profit incentive for firms to enter the market. c. there is no incentive for the number of firms in the market to change. d. there is an incentive for firms to exit the market.
Suppose there are two types of movie: Arty (A), and Popcorn (P). These films may be either Decent (D) or Terrible (T). 35% of all movies are Arty. 20% of all movies are both Arty and Decent. If a film is a Popcorn, there is a 75% chance that it is Te..
The Occupational Safety and Health Administration (OSHA) has determined that the probability of a worker dying from exposure to a hazardous chemical used in the production of fertilizer is 0.008. The cost of imposing a regulation that would ban the c..
.S. policy to increase the miles per gallon (mpg) of new cars is to mandate an average mpg for cars sold by U.S. manufacturers. In many countries within the European Union, the policy is to tax gasoline so that the price per gallon at the pump is sta..
If the company installs new equipment, FC rise to $2000 and AVC drops to $2.25, what is the break-even point and at what production level should the company switch from the old machine to the new?
A market with barriers to entry may not be characterized by production at the minimum ecient scale in the long run. The Diamond-Mortensen-Pissarides model successfully explains the phenomenon of unemployment, while competitive market models ( earlier..
A brief working definition of representative democracy, constitutional democracy, and republic forms of government. Then, explain how these concepts impact contemporary democratic governance. Provide specific examples to illustrate your points.
what part of the change in Sarah's demand was due to the income effect and what part was due to the substitution effect?
The welfare loss/dead weight triangle depicts:
Distinguish between liberal economics and conservative economics. Why is macroeconomics an inherently political subject? Summarize the problems that can be created by rapid inflation. How can inflation become self-perpetuating?
will have to rise the money supply to keep the price level from falling.can keep the price level stable without altering the money supply or interest rate.
Change is a constant factor in both in our personal and work lives. There seems to be resistance to change whether the change will be good or bad. Why do people resist change?
During the Allied invasion of France in 1944, the Germans had to decide where to place their defenses. They had three choices: they could concentrate their defenses at Calais, concentrate at Normandy, or split their defenses between both locations. D..
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