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The situation in which the long-run average cost curve exhibits economies of scale over the entire range of output is called a "natural monopoly." Explain why, in the case of a natural monopoly, it would be cost efficient to have a single firm serve the entire market.
Costs for maintenance of buildings at an industrial complex are expected to be $2000 in year three, $2500 in year four and amounts decreasing by $200 per year thereafter through year nine. at an interest rate of 10% per year, calculate the present wo..
According to the Keynesian view “Businesses will undertake all investment projects for which the expected rate of profit equals or exceeds the interest rate.” Explain what this means.
Canon will receive payment from its dealers on August 28th, 2012. Assuming which Canon needs to cover its expenses in Japan
A 50-kilowatt gas turbine has in investment cost of $40,000. It costs another $14,000 for shipping, insurance, site preparation, fuel lines, and fuel storage tanks. The operation and maintenance expense for this turbine is $450 per year. what is the ..
Country A has the production function: Y=F(K,L)=K^(1/2)L^(1/2) a. What is the per-worker production function y=f(k)? b. Assume that country A experiences no population growth or technological progress and that 10 percent of capital depreciates each y..
A piece of construction machinery costs $5000 and has an anticipated $1000 salvage value at the end of its five year depreciable life. Compute the depreciation schedule for the machine by: Straight line depreciation;
What is the equilibrium price. What is the equilibrium quantity. If the price was $7, what would be the quantity demanded
How much profit does an unregulated monopolist earn. How much profit would be earned if MC pricing were imposed
Explore in particular how the two companies respond to the macroeconomic conditions in terms of their.
q1. what is a budget deficit? explain how are budget deficits financed? why do keynesians believe that budget deficits
A consumer has preferences u(x) = 2x 1 2 1 + x2. The price of good 1 is p1 > 0 and the price of good 2 is 1. You may restrict your attention to interior solutions throughout. Explain whether these preferences are i) monotonic, ii) quasilinear, iii) e..
If the U.S. international merchandise account balance is positive, then:
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