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Consider firm organization:
a. Briefly explain why corporations with sufficiently diffused ownership are typically governed by a board of directors and why this board typically includes members from outside of the corporation.
b. Identify the three sources of cost that vertical integration is intended to mitigate or remove. However, no firm is fully integrated, implying there is a cost to vertical integration. Identify this cost and briefly relate it to firm size and scope.
1) U.S. real GDP is substantially higher today than it was 60 years ago. What does this tell us, and what does it not tell us, about the well-being of U.S. residents? What are the limitations of the GDP as a measure of economic well-being? Given t..
Assume that your household gets a machine that cost Lesley provides you with food. Illustrate what would that do to your labor supply.
To what extent to do you agree/disagree with the actions of the central banks during this time?
Glassworks and Clearsmooth compete in the local market for windshield repairs. The market size (total available profits) is $10 million per year. Suppose the two windshield-repair firms know they will compete for just one year. Write down the payoff ..
wo companies A also B are duopolists who produce identical products. Determine the long run equilibrium output also selling price for each firm.
Assume that all the factors affecting demand in this model remain the same, but that the price has changed. Further assume that the price changes are 100, 200, 300, 400, 500, 600 dollars. a) Plot the demand curve for the firm.
How do investment in technology and investment in capital differ? If banks hold excess reserves whereas before they did not, the money multiplier:
If the cross-price elasticity of aluminum with respect to steel is 2.0: What would happen to the quantity demanded of aluminum if the price of steel increases?
The price level starts at 1.0 and rises by the end of the year to 1.15. What has happened to the value of the dollar over that same period of time? What are the consequences of that price level change? Will an increase or decrease in the money supply..
If you choose to contribute to a candidate’s campaign, to what extent is the candidate obligated to you as a contributor? Should your contribution influence public policy?
A company plans to invest $12,000 dollars on new equipment with an 8 year life to reduce operating costs. It is estimated that the savings will be $4,000 the first year but decrease by $400 each year for the remainder of the equipment's life. Determi..
You’re 20 years old, and you’re trying to decide which career path to take based on the future expected streams of income. Occupation A has you earning $15,000 for 5 years, then $25,000 for then next 30 years. Write out a formula to calculate the pre..
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