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Reconsider the "double marginalization" model. Solve for the equilibrium input price and final price when there are N downstream firms compete in Cournot fashion. Explain the intuition of the result that the greater the degree of retailer competition, the greater the optimal input price.
During a fast and furious brainstorm session, Jill scribbled down several key phrases she will use to study tomorrow.
Suppose you were in charge of designing the border security policies for airports, seaports, and roadways in the United States. How would you go about finding the optimal level of security, the optimal level of commercial trade and tourism, and th..
EMC has preferred stock outstanding which pays a dividend of $5.00 at the end of each year. This stock was issued in perpetuity and has no maturity date.
Sometimes market activities (production, buying, and selling) have unintended positive or negative effects outside the market's scope. These are called externalities. As a policy maker concerned with correcting the effects of gases
Female shoppers generally value microwaves more than men and attribute greater value to the auto-defrost feature. There is little additional cost to incorporating an auto defrost feature.
How much insurance should I buy to be fully insured and what is a fair insurance premium?
Discuss the effect (increase or decrease) of an increase in the tax rate, t, on the equilibrium income Y* using the effect of increasing t on the equilibrium solution.
suppose investment, in addition to having an autonomous component, also has a component that varies directly withthe level of real GDP. How would this affect the size of the government purchase and net tax multipliers
Assume the price of beans rises from $1.00 a pound to $2.00 a pound, quantity demanded falls from 10 units to 6 units. In this example, the demand for beans is said to be ______
In the 1990s, Pfizer, Inc., developed a new antibiotic called Trovan (trovafloxacin mesylate). Tests showed that in animals Trovan had life-threatening side effects, including joint disease, abnormal cartilage growth, liver damage and a degenerati..
Consider the following demand schedule. Does it apply to the perfectly competitive firm? Calculate marginal and average revenue.
Determine whether the firm is operating efficiently, given that its objective is to minimize the cost of producing the given level of output. Determine what changes (if any) in the relative proportions of labor and raw materials need to be made to..
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