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Suppose that a monopoly computer chip maker increases production from 10 microchips to 11 microchips. If the market price declines from $30 per unit to $29 per unit, marginal revenue for the eleventh unit is?
In consumer-directed health insurance plans it is possible to have low levels of deadweight loss from moral hazard, while also having low coinsurance rates and no supply-side restrictions.
Suppose the economy is in a recession and per capita disposable income is expected to decrease by 5%, then what percentage effect on sales would you expect to take place.
The production of any goods or services requires the allocation of resources that otherwise could be used to produce other goods and services, given the available technology.
Think about the demand for the three popular game consoles: XBox, PS3, and Wii. In each of the scenarios below, briefly describe the effect on (a) the demand for XBox games and (b) the quantity of XBox games demanded
Atlas Transportation is considering installing temperature logger in all its refrigerated trucks for monitoring temperatures during transit. If the systems will reduce insurance claims by $40,000 per year for 5 years how much should the company be wi..
Illustrate that this is an indirect or a direct rate. If the forward rate is an accurate predictor of replacement rates.
Explain the practical effect of price controls on product and service availability, quality and true cost. What is the full impact of rent controls? On whose behalf are they imposed? Who are the winners and who are the losers? What is the impact of p..
Compute US GDP using the income, expenditure and product approaches. Clearly show and explain all steps used for each approach. In particular, for each item that you add up, specify under which specific category it falls.
Assume the demand function for basketballs is given by QD = 150 −3P + 0.1I, where P = price of a basketball, and I = average income of consumers. Also, assume the supply of basketballs is given by QS = 2P. If the market for basketballs is perfectly c..
Find online the annual 10-K report for Green Mountain Coffee Roasters (GMCR) for its 2012 fiscal year, filed in September 2012. Answer the following questions from the income statement: What were Green Mountain’s revenues for 2012? By what percentage..
The empirical demand function for good X is estimated in log-linear form as ln Qˆ = 11.74209 – 1.65 ln P + 0.8 ln M – 2.5 ln PY where Qˆ is the estimated number of units of good X demanded, P is the price of X, M is income, and PY is the price of rel..
A factor that would increase the demand for international reserves is
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