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The market demand in an industry is P= 200-Q. (Note: The answer to this question must be hand-written.)
A) The industry is currently performing competitively with price equal to marginal cost. If, LRMC=LRAC=10, what is the output and price?
B) Suppose a series of mergers monopolizes the industry and results in lower costs such that LRMC = LRAC = 5 (the demand stays the same). What are the industry output and price?
C) Does this merger improve the total welfare to society? Please show all your work for full credit.
The government should not be in the organization of promoting renewable power, but should simply set a reasonable price on greenhouse gases
Suppose that a competitive firm long-run supply curve is given by the expression QF = -500 + 10P. Does this mean that the firm will supply -500 units of output at a zero price? If so, what does output of -500 units mean?
When watching at our economy, you will determine that government expanding is very important to our overall output of our economy.
Why is an oligopolist more likely to be able to earn a profit in the long run compared to a monopolistic competitive firm?
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Suppose ha he money demand function is (M/P)d =1000-100r, where r is he interest rate in percent. the money supply M is 1000 and the price level P is N$2.
Open the Main Menu form in Design view. Add three buttons below the Forms label that will open the three forms in the database: Enter Customers, Enter Employees, and Enter Suppliers (in that order and to show all records).
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The table above demonstrate the prices and quantities of 2-goods produced in a country in 2006 and 2007. These are the only goods produced in the country.
Answer the following questions: Based on the text and lecture materials, along with current data, make an argument for the state of the economy. Are we in a recessionary or inflationary gap? Neither?
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