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Prove Theorem 7.2, paying particular attention to constructing feasible variations that ensure x(t1, ε) = x1 for all ε in some neighborhood of 0. What happens if there are no such feasible variations?
A monopolist produces according to the following demand curve: p=200 - 4Q. Assume that the firm faces a constant marginal cost and constant average total cost of 60 per unit produced. A.calculate the optimal output that this monopolist should produ..
Consider a seller who values a car at $9,500 and a buyer who values the same care at $10,000. What total surplus will result from a transaction between the two when the seller is faced with the follow sales tax rates: 0%, 2%, 4%, 6%, and 8%
Once you've summarized and assessed a source, you need to ask how it fits into your research. Was this source helpful to you? How does it help you shape your argument? How can you use this source in your research project? Has it changed how you th..
What are the current prices of capital and labor, based on the graph b. Suppose that the price of labor increases, if the firms wishes to continue to produce the current level of output how will the firms optimal input choice change
The banking market in Athens, Ohio, currently has four banks with market shares of 60 percent, 20 percent, 15 percent, and 5 percent. The two smallest banks have proposed merging. Under the standard merger guidelines of the Federal Reserve.
The MacBurger Company, a chain of fast food restaurants, expects to earn $200 million after taxes for the current year. The company has a policy of paying out half of its net after tax income to the holders of the company's 100 million shares of c..
Suppose that there are two types of players, good and medium. the team demand curve for top-quality players is Q = 27 - 5 w , and the market supply of top players is Q = 4w, where w is the wage in millions of dollars.
Suppose that BMW can produce any quantity of cars at a constant marginal cost equal to $20,000 and a fixed cost of $10 billion. You are asked to advise the CEO as to what prices and quantities BMW should set for sales in Europe and in the United S..
The demand function for orange juice is q=247-8p and the supply function is q=19+4p, where q is the number of units sold per year and p is the price per unit expressed in dollars. The government decides to support the price of orange juice at a price..
The deadweight loss of a tax is the area of the triangle between the supply and demand curves. Solve for the deadweight loss as a function of T. Graph this relationship for T between 0 and 300. (Hint: Looking sideways, the base of the deadweight l..
One year ago, you bought a bond for $10,000. You received interest of $400 at the end of the year, as well as your $10,000 principal. If the inflation rate over the last year was five percent, calculate the real return.
With the machine adequately maintained, its production rate will remain constant for the first 1,200 hours of operation and then decrease by 2 feet per hour for each additional 400hours thereafter. the expected average annual use is 400 hours
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