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A firm that operates in a competitive market has a total cost of production given by TC(Q) = 3,000 + 5 Q + 18 Q2 and marginal cost given by MC(Q) = 5 + 36 Q. The market price for the product it sells is P = $239. Then the profit maximizing quantity is
The necessary change in taxes and government spending and the effect on aggregate demand, GDP, and employment.
Argue that the main goal of a firm in a market economy is to maximize profit shareholder wealth over the long term. How might this impact stock price in the short term.
Suppose the consumer/worker values two things: a consumption good C and leisure L. Suppose that there are 24 hours in a day and the consumer/worker has a utility function U (C, L) = ln C + L The price of consumption is P and the wage rate is w: Yo..
Suppose, on the other hand, that by eectively regulating the nancial system, the bill increases savers' condence in the nancial system. Show the consequences of the policy on this situation on a new graph, again noting changes in the equilibrium i..
As in the case of oligopoly markets, rivals may select to compete aggressively, non-aggressively or in non-price dimensions.
In a 1990 article assessing the 1980's, Time reported that: "The good news is that U.S. gross national product doubled during the 1980s, from $2.7 trillion to $5.3 trillion." The GNP number they refer to is nominal GNP. Why might this news not be as ..
a b c and d are directors and shareholders of a company a is the managing director. a b c and d own equal shares
James Pizzo is president of a company that is price leader in the industry; that is, it sets the price and the other firms sell all they want at that price.
The government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues, such as obesity and heart disease. Answer the following: What type of tax is this. What happens to the supply of cookbooks. What..
What are the advantages enjoyed by a large size firm when a number of organisations group together in an area irrespective of what is happening within the firm?
Describe why the understatement of inventory by 66,000 at then end of 2004 results in an understatement of equity by same amount in that year.
Grade school- education is said to yield a beneficial externality because all of us benefit from interacting with people who know basic reading and writing.Assuming that this is true,make a case for providind education from taxes.
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