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Andrew has decided to open an online store that sells home and garden products. After searching around, he chooses the software company Initech to provide the software for his website since their product required the least amount of specialized investments for him to use it. They agreed upon price of $3,000. To use Initech’s software, Andrew makes $1,000 in sunk capital investments and spends 40 hours learning how to use Initech’s software, which is very different from other software packages. Both Andrew and Initech view Andrew’s time as worth $25 per hour and Initech is fully aware of the investments Andrew must make to use their product. After Andrew’s investments were made, Initech came to Andrew and asked for more money. How much do you think they asked for?
Illustrate what would be the effect of poor weather on the consumer surplus, producer surplus, deadweight loss.
question 1explain and illustrate with diagrams the differences between diminishing marginal returns and decreasing
q1. illustrate the result of the passage of the motor carrier act in 1980? please use the internet search or other
how are companies using real options, what types of options exist, why are real options important, who uses real options, where are real options most appropriately used and what are experts saying about real options.
q.in the cagan model if the money supply is expected to grow at some constant rate m sothat emt s mt sm then equation
Suppose you are the manager of a home-building company and the government is considering eliminating the deduct-ability of mortgage payments interest.
What is the amount of 10 equal deposits that can provide five annual withdrawals, where a first withdrawal of $2,000 is made at the end of year 11 and subsequent withdrawals increase at the rate of $500 per year, if the interest rate is 10% compou..
A pharmaceutical firm faces monthly demands in the U.S. and Mexican markets for one of its patented drugs.
Give an economics analysis of that liability standard for product-related harms.
Compare social welfare under the bribe with social welfare in the case where the police officer always abides by the law.
Assume that he marries her the subsequent year. Other things equal, which of the following would be true concerning the reported official GDP the following year.
Suppose we refused to sell goods to any country that reduced or halted its exports to us. Who would benefit and who would lose from such retaliation. What could you suggest alternative ways to ensure import supplies.
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