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Product innovation can be very important such as increased computing power in a personal computer or perhaps relatively unimportant such as a new design for an automobile with no new safety or performance features. Under what conditions must a a firm continuously innovate even if the changes are relatively minor? Explain
If the demand curve is QD = 100 - 10P and there is a $1 price increase, then the elasticity of demand at P = 2 is 2. If the absolute value of a demand elasticity is less than 1, then
Assume the mpc = 0.6 for an economy. Showing work, please find the effect (if any) on equilibrium real GDP of each of the following events (other things remaining the same):
If the price of one good is four time the price of the other also the price of both double, Illustrate what effect does it have on the set of affordable bundles
The Commerce Department revised its estimate of real GDP to $3.877 trillion, up from the earlier estimate of $3.835 trillion. Before adjusting for inflation, GDP was $4.603 trillion, up from $4.523 trillion.
The Equation of Exchange is given as MV = PY , where M= the nominal money supply, V= the velocity of money, P= the price level and Y=real GDP. What is the Monetarists’ argument (based on the quantity theory of money) about an increase in M? Explain a..
What are the three generic strategies, according to Porter and as stated in Dess (2012)? What is the strategy of your chosen company?
Succinctly explain the concepts of Structure (Structure), Culture, Agency and Social Action, and the relationship between these concepts in developing a historical view of the process of cumulative causation.
From the scenario for Katrina's Candies, determine the relevant costs for the expansion decision, and distinguish between the short run and the long run costs
Assume that a 1- year discount bond (bond A) with a face value of $1,000 is currently trading at PV = $938.97, and another 2-year discount bond (bond B) with identical risk features and face value is currently trading at $834.01. Please calculate the..
What do you consider to be the biggest current market failure in the U.S. economy? Why? How should the failure be addressed?
The movement to free international trade is most likely to generate short-term unemployment in which industries?
For a firm with two variable inputs, X = (KL)1/4; where X is the level of output; while K and L are the inputs of capital and labour, respectively. The rental rate per unit of capital is $4, and the wage rate per unit of labour is $64. Derive the lon..
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