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Suppose there are two inputs in the production function, labor and capital, and these two inputs are perfect substitutes. The existing technology permits 1 machine to do the work of 3 workers. The firm wants to produce 100 units of output. Suppose the price of capital is $750 per machine per week. What combination of inputs will the firm use if the weekly salary of each worker is $300? What combination of inputs will the firm use if the weekly salary of each worker is $225? What is the elasticity of labor demand as the wage falls from $300 to $225?
1. explain the difference between the stackelburg and the cournot duopoly models. outline the process by which a
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Illustrate what are the three contingent environmental resource evaluation methods also Illustrate what is their significance.
Know that the far increase on cable car rides was 67%. Price is $5 one way. Prices were raised to help ease a $57 million deficit.
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Find the autonomous expenditure and induced expenditure in this economy.
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Assuming that all buyers received the credit, estimate the own cost elasticity of demand as well as well as own cost elasticity of supply.
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Consider a person with preferences over two goods, coffee and cigarettes. Both of these goods are addictive, in other words the more coffee you drink, the more willing you are to give up other goods in exchange for coffee and the more cigarettes you ..
An injection molder is purchased for $500,000 for a large scale commercial operation. Its expected life is production of 2 million plastic wheels. Its salvage value is $1,000. Using the units of production method, calculate the depreciation rate per ..
If the resource prices return to original levels, but a new technique is invented that can produce.
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