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Suppose an Entrant and an Incumbent are playing an entry game. The set-up is as follows: The Entrant first decides whether to enter. The Incumbent moves second. If the Entrant enters, the Incumbent decides whether to fight or accommodate. The dynamic game format is below:
Is this a case of cheap talk?
Reinert maintains that the evidence is that North-South trade has a _______ negative impact on the wages of Northern unskilled workers, and that protectionism ___________ a reasonable response.
What are transfer payments, and how do they make their way into the GDP calculation? If one added up the value of all intermediate goods that went into the production of real GDP, the total value of intermediate goods would be
Amazon’s new tablet computer, the Kindle Fire, has slim margins at its $199 retail price. Admittedly, this product is trying to change the way we read books. Categorize the listed costs as variable or fixed and calculate a contribution margin percent..
Do you believe there is a power shift away from the U.S. and that the west is in decline? Why or why not? Do you believe the U.S. should cede this power? What impact would we see if the U.S. did cede power to Brazil, Russia, India or China?
Effective leaders are essential to the success of any organization, be it a small business or the U.S. government, the largest organization in the world. Globalization demands global leaders. What is global leadership? How does it differ from a purel..
Suppose the monopolistically competitive barber shop industry in a community is in long-run equilibrium, and that the typical price is $20 per haircut. Moreover, the population is rising. Illustrate the short-run effects of a change on the price and ..
Suppose you are hired to manage a small manufacturing facility that produces Widgets. You know that you are operating in a monopolistically competitive market, that is, you are a small part of a large market with many competitors in this market. From..
Consider the Hicks/A-J model of strikes. Suppose that the union resistance curve is W=5+.2s-.01s^2, where W is the percentage wage increase and S is the expected strike duration in days. Find the expected strike duration and wage increase when econom..
According to the rule for optimal input usage, a firm should hire a person as long as her marginal revenue product is greater than her marginal cost to the company.
What is the equal-payment series for 10 years that is equivalent to a payment series starting with $15,000 at the end of the first year and decreasing by $3,000 each year over 10 years? Interest is 9% compounded annually.
Describe the value proposition behind General Electrics Industrial Internet initiative (e.g. what job does GE’s strategic initiative aim to fulfill for its consumers?).
Suppose both Monica and Edith grow roses and make guns. If Monica devotes 10 hours to growing roses, she grows 16 roses, and if she devotes 10 hours to making guns, she produces 4 guns. If Edith divides her 10 hours equally, she produces 12 roses ..
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