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A local dentist read an article published by the American Dental Association estimating that the elasticity of demand for the representative dentist's services is -2.5. How much should the dentist mark up her price over marginal cost?
How much must be deposited each month for 9 months at an interest rate of 9.6% per month to allow for a single withdrawal of $54,273.31 at the same time as the last deposit?
We suggested above that an annually increasing renewal fee would be an efficient means of setting optimal patent life. Similarly, suppose that owners who wanted to restrict future use of their property had to pay a fee for each year that the restrict..
In 2010, 40% of all U.S. corn production was used for producing ethanol, while 60% was used for consumption in or as food products. In 2011, a prolonged drought reduced the overall production of corn by 30%, from 10 million bushels to 7 million bushe..
Andrew belongs to a culture in which most people including Andrew have freedom in their economic and political pursuits. Further, this culture gives priority to Andrew's interests over the interests of the relevant social unit. Which of the following..
Assume that the monopolist has a cost that is always increasing with the quantity produced: C0(q) > 0 for every quantity q. What happens to the monopolist's quantity when the price elasticity of demand is always less than or equal to 1? Justify your ..
What is the MRP of labor equal to in this situation? Assuming that Economan takes the price of labor as a given, what is the maximum daily wage that would make it in his best interest to hire this additional employee?
Explain how the United States calculates unemployment and why many economist do not find this as a real economic indicator. How is unemployment calculated in other countries? Give two examples. What are your thoughts and ideas on this?
Explain the Public Policy Lifecycle utilizing a public policy Discuss how the importance of developing a viable Policy Adoption and what policy makers need to consider when adopting new or amending existing policies.
The Economy is at full employment. Now the government want to change the composition of demand towards investment and away from consumption, without, however, allowing aggregate demand to go beyond on full employment. What is the required policy mix?..
A consumer's bundle includes two normal goods, good X and good Y. According to the income effect, a(n) ______ in the price of good X or ______ in the price of good Y will cause the consumer to buy less of good X.
Over the Christmas Break, you are hired by Apple to help make the new iPad. Show completely labeled graph showing the initial equilibrium wage and quantity for the iPad labor market.
Business firms become pessimistic about their future earning capacity as do banks. Nominal interest rates fall during recession.
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