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1. Using your knowledge of marginal revenue product, explain the following:
a. A star is paid $200,000 for appearing in a 30-second television commercial. The actor who plays his doubles partner is paid $500.
b. A president of a company is paid not to stay in his job for the last two years of his contract.
c. A jumbo jet carrying 400 passengers is priced higher than a 250-passenger model, even though both aircrafts cost the same to manufacture.
2. The only legal employer of military soldiers in United States is the federal government. If the government uses its knowledge of its monopolistic position, what criteria will it employ when estimating how many soldiers to recruit? What happens if a mandatory draft is implemented?
Illustrate what is the labor variance for the month. Illustrate what is the labor efficiency rate for the month.
Elucidate the 2008 world financial crisis and the ongoing debt crisis in Europe using one of the three theoretical frameworks. realism, liberalism, and constructivism.
Assume that Kiribati can produce 1000 tons of breadfruit or 500 tons of fish, and that Tuvalu can produce 750 tons of breadfruit or 1875 tons of fish.
An economists have estimated the subsiquent transportation elasticities.
Assume that a employee's skills can be summarized by the number of efficiency units she owns and the distribution of efficiency units in the population
Explain how does the marginal price for a product like this differ from a product like automobiles. What relevance might there be to this difference.
University of Florida engineering students are planning operating a mobile car clinic in Gainesville, Florida, during their summer break. This is an option to summer employment stacking plastic cups
Illustrate and explain the interaction of households, businesses, government and global markets in the circular flow of economic activity.
Central Med Medical Clinic recently bought an Electec model 1555 mobile CT Scanner for $225,000. Typically CMMC depreciates their medical machine over a 3 year life,
Assume that the yearly personal income per capita is in the US is $39,000 in 2008, the price of gasoline is $4.00 per gallon, and the consumption of gasoline per capita is 450 gallons.
Assume the market demand curve in an industry is characterized by P=1-Q, where P is the market price and Q is the total quantity supplied to the market. Assume there are three firms in this industry.
Determine what are some of the sources companies can turn to for venture capital funding?
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