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If a pharmaceutical company knows that one of its products has a dangerous side effect, but does not disclose that to its customers, then the market for that product is likely to fail due to:
external costs.
external benefits.
market power.
asymmetric information.
Suppose an economy produces three goods (rice, bananas, and strawberries). Draw its PPF assuming constant opportunity costs, then draw it with increasing opportunity costs.
What happens to price and output in the Cournot, Bertrand, and Stackelberg models if marginal costs increase by 10 percent? The market demand is p = a ? bQ and the marginal cost is constant across firms, i.e. mc1 = mc2 = c. You may consider for two f..
Calculate the total fixed costs, total variable costs, average fixed costs, average variable costs, average total costs, as well as marginal costs.
Find out the marginal revenue also the marginal cost functions and show them graphically. Find the monopolist's price, output, profit, and the price of the cost margin.
What could the FED ( Federal reserve system) do in 2002-2003 in order to bring the economy back to full-employment ? What did the FED actually do ? Explain in detail
how will the quantity of aggregate output supplied respond to the fall in prices. Illustrate what will happen when firms and workers renegotiate their wages.
Illustrate what is the total number of wells which maximizes the sum of the profits of both firms.
1. assume that a state government currently provides no child care subsidies to working single parents excluding that
Illustrate what management-financial considerations would required to be considered. Elucidate why the firm's short run production has only one ‘rational' stage of production.
q1. one of the most important areas of economic that namely use of leading economic indicators to forecast the future
Brinley puts on an art show in a public space asking for donations base on how much people enjoy his work.
one of your econ classmates is puzzled by how the wealth effect is a reason for not only the downward sloping nature of aggregate demand (AD) schedule, but also for shifts in the AD curve. Briefly offer an ezplaination that can resolve that dilems..
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