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Assume the apartment rentals in LA are monopolized by a single firm. Inverse demand for the rentals is given by P = 2000 - 2Q. The constant marginal cost per apartment is $100 per month. Demand is continuous.
Assume the government imposes a price ceiling of $800. What is the new equilibrium price and quantity and how big is the deadweight loss?
Consider a monopoly platform which serves two sides of a market (e.g. an auction website which brings together buyers and sellers). Each side of the market consists of two agents. What are the access prices that the platform will charge in the subgam..
Barb age 25, files as a single taxpayer. She is employed at a monthly salary of $2,150. She claims no dependents. Her employer withheld $1,600 from her wages for income taxes for 12 months' of work. Compute of Barb’s income tax due to or from the IRS..
A nation’s aggregate real income is growing at an annual rate of 3.3 percent, and its current rate of growth of per capita real income is 0.4 percent. What is the rate of population growth in this nation?
Suppose, in our efficiency wage model, we have q=2/3; E, the cost of working hard, is 2; the MPL is constant, equal to 30, and the labor force is 100. Find the equilibrium unemployment rate. Find the return to shirking and the return to non-shirking ..
What are the advantages and disadvantages of regression models in comparison to using a computerized regression routine.
The Targeted Jobs Tax Credit (TJTC) – enacted in 1978 and expired in 1994 – offered employers a tax credit for each less-skilled worker they employed. Assume that the tax credit was fixed at $5 per-hourworked by a less-skilled worker. According to ne..
Firm A and Firm B are competitors in the same industry. The two firms have similar operating costs, except Firm A has more fixed operating costs than Firm B. As a result, which firm would experience a greater change in operating income as the result ..
Consider the following hypothetical demand schedule for "Tammy Fay" brand Mascara: Based on this demand schedule, set up a graph (using excel) of the demand curve and the corresponding total revenue curve (with quantity on the horizontal axis).
The sales revenue in the agricultural sector is $120, the earnings of labor in the agricultural sector is $70 and the earning of capital in the agricultural.
You plan to live in your house for 20 years, and your 20 year mortgage (principle and interest only) is $2,100/month. If you expect inflation to average 3% annually, what is your constant dollar mortgage payment on the day of your last payment?
Define the fundamental responsibilities and key characteristics of the Chief Information Officer (CIO) and Chief Technology Officer (CTO) within health care organizations. Make one (1) recommendation where they can utilize their expertise to assist w..
You are going to display what happens in the long run in perfectly competitive markets when firms are operating at a loss. Demonstrate the shift that will occur in the market in the long run if all firms in this market are operating at a loss. Identi..
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