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Think of a business firm you recently visited (such as Walmart, Home Depot, Red Lobster, Barnes & Noble, McDonalds, etc.). What motivated the producers of all the individual products in the store to make them and offer them for sale? How did the producers decide on the best combinations of resources to use? Who made those resources available, and why? How does the market determine who will get the goods and services? Who decides whether these particular products should continue to be produced and offered for sale? How do these decisions differ between capitalist and socialist systems?
In which system (capitalist or socialist) would you prefer to live? Why?
Analyze the statement "We live in a mixed economy, not a purely market economy!"
Illustrate what is profit-maximizing level of price and quantity for this monopolist. Illustrate what will profits be at this price and output level.
Converse briefly its relationship to microeconomics also other related fields of study such as finance, marketplace also statistics.
A car manufacturer claims that its vehicles average at least 25 miles per gallon.
A pharmaceutical company has already spent 1 million dollars in research for a new drug and now has to make a decision. The company can either terminate the research program or it can move to the development phase. If the company moves to the develop..
Promoters of a major college basketball tournament estimate that the demand for tickets on the part of adults is given by Qad = 5,000 ? 10P, and that the demand for tickets on the part of students is given by Qst= 10,000 ? 100P. The promoters wish to..
Why do cotton growers spend billions of dollars to dam rivers and transport water hundreds of miles to grow cotton in California deserts?
Given that a central bank is deemed a necessity in a free market economy should we leave it as it is or place more legislative controls?
Elucidate what would the seller's cost of capital have to be in order for the discount to be cost justified.
Give an example of a government created monopoly. Is creating this monopoly necessarily bad public policy?
Explain how foreign exchange rates are determined. How do changes in interest rates, inflation, productivity, and income affect exchange rates
What is the impact on the long run adjustment due to this condition. First, look at the impact of the market and then the single firm. What does it do to economic profits or losses, then what happens in the market.
If the Federal Reserve had maintained a constant money supply in the face of this change, what would have happened to the interest rate.
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