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In 2006, Willem de Kooning's abstract painting Woman III sold for $137.5 million. Portray this sale in a demand and supply diagram when the quantity is 1. Instructions: (1) Use the tool provided 'S' to graphically show the supply of this painting. This line should only contain the two endpoints and fully intersect the demand curve. (2) Use the tool provided '$137.5' to graphically show equilibrium.
If instead she travels to Florida the trip will give her 8,000 units of utility and will cost her only $200. Joan will do best going to?
The market demand function for corn is Qd = 15 - 2P and the market supply function is Qs = 5P - 6, both measured in billions of bushels per year. Suppose the government wants to raise the price to $4 per bushel. Describe both graphically and algebrai..
What is the difference between contractionary and expansionary monetary policy? What is the intention of each policy under a depression, recession, or robust economy? Which type of monetary policy is more appropriate today and why?
Why might an economics professor who is good at fixing cars still prefers to take his automobile to a garage for a tune-up? If the same professor decides to get a tutor for his daughter in economics instead of tutoring her himself does the same princ..
How do the three equations that define general equilibrium in the AS/AS model differ (or not) when describing an economy using (i) adaptive expectations or (ii) completely credible central bank?
Show that the value of GDP at the point of spending balance is 6,000 billion. What proportion of investment is private saving? Government saving? Saving by the rest of the world?
Everything else equal, when the market supply curve shifts inward, consumer surplus. Everything else equal, given an upward sloping supply curve, if the market demand curve were to shift outward, producer surplus
To make the advertisement worthwhile, how many of the original buyers must each persuade just one other just one other to buy the book?
What is the NPV break-even level of sales assuming a tax rate of 35%, a 10-year project life, and a discount rate of 12%? (Do not round intermediate calculations. Round your answer to the nearest whole number.)
the u.s. cigarette industry has negotiated with congress and government agencies to settle liability claims against it.
Predict what will happen to the economy in the short run if household debt rises and at the same time the government increases subsidies to firms. Predict what will happen to the economy in the short run if there is an increase in taxes and at the sa..
Margin requirements on such a spread are often less than y would be if two contracts were considered separately. Why? Prices on two intra-market futures contracts tend to move together because similar fundamentals drive prices in both contract mar..
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