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Use a hypothetical example to illustrate whether you agree or disagree with the following statement, "Unemployment will go up more if the demand for labor is elastic, because the demand for labor will decrease more when you have elastic demand than if demand were inelastic". Explain
Explain how would you evaluate this forecast for your firm.
A study sponsored by the American Medical Association suggests that the absolute value of the own price elasticity for surgical procedures is smaller than that for the own price elasticity for office visits. Explain why this would be expected
How would the following changes in price affect total revenue? That is, would total revenue increase, decrease, or remain unchanged? LO2 a. Price falls and demand is inelastic
Explain why this statement and the assumption that net receipts will be zero at an output where marginal revenue equals marginal costs are wrong.
Nina is able to select her weekly work hours. When a new bridge opens up, it cuts one hour off Nina's total daily commute to work. If both leisure and income are normal goods, what is the effect of the shorter commute on Nina's work time
Adopt a first-degree price discrimination policy, what prices should you charge to maximize revenues and what are the revenues?
Explain how much is spent on bus rides. What is consumer surplus in dollars at this equilibrium. How much is the total benefit in dollars from bus rides.
Leaders of a small town are tired of looking at a vacant and dilapidated warehouse that sits on a prime piece of real estate. The town finds an investor who purchases the warehouse and promises to renovate the old building and build condominiums.
Mr. Shanku has borrowed dollars in the US but is now concerned regarding its currency risk. What alternatives does he have to limit his risk.
Before the merger, each of the separate newspapers was losing about 10 million per year. what forecast would you make for the merged firms profits.
A) Derive the equation for the IS curve, Y=k*Ap. GRaph for interest rates 0 & 8, with intervals of one-half of a percentage point. B) Suppose the equation for th LM curve is Y=13500+100r. Use this equation to explain the level of income at which t..
Compute the total revenue and total economic profit at each level of output. Compute the pizza shop's marginal costs and marginal revenue level of output. What is the profit maximizing rate of output for pizza shop?
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