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After viewing the clip “Broke“ from The Office, what was Ryan referring to when he said, “Over time with enough volume, we become profitable.” What short run costs was he focused on, and what was he ignoring? Given what you have learned so far about economies and diseconomies of scale, discuss the ramifications involved as a firm grows bigger. Use examples from beyond your readings to describe firms experiencing either economies or diseconomies of scale and what this implies for competition and for the customers of these firms.
Over the last 13 years, since the Euro was introduced, what significant changes have we seen with Euro/USD exchange rate? Which currency has appreciated and which has depreciated over the past 13 years? What are two reasons for why this has occurred?
Suppose that the manager of a paint supply store wanted to estimate the correct amount of paint contained in one-gallon cans purchased from a nationally known manufacturer. It is known from the manufacturer’s specifications that the standard deviatio..
An individual has an income of $1000 per month with which they buy the composite good with a price of $1 and food with a price $2/unit of food. Now assume that the government gives the individual food stamps worth $100. This is money that can only be..
Which of the following are tools available to the Federal Reserve to influence the money supply directly?
Which of the following best describes the aggregate demand and aggregate supply model?
In an economy where the equilibrium rate of return on assets is 5 per cent per year, suppose there are three assets A, B and M. A is an acre of land and has an annual cash flow of $50 (received at the end of the year) and is not expected to appreciat..
For the period 1980-2010, how did the rate of growth of per capita GDP in China compare to that in the US? How did the rate of growth of technological improvement (broadly conceived) in the two countries compare? Give some examples of changes that ca..
Discuss the effect the credit market crisis in the United States in 2008 had in the market for existing single-family homes. Assuming the demand for existing single-family homes is relatively inelastic, what is likely to happen to the total revenues ..
As a professional tennis player, an individual earns $300,000 per year. If employed as a model, the next-best option, this person would earn $120,000 per year. What is this tennis player's economic rent (profit)?
Explain the difference between a person's nominal income and their real income. Why is real income more important to that person.
The real interest rate is defined as: The loanable funds theory states that ________ is(are) determined by the ________ for loans. Which of the following are assumptions of the loanable funds theory? Which of the following are assumptions of the loan..
Which of the following is not a valid point in debating the merits of increasing government expenditures or cutting taxes during a recession?
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