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A monopoly producing a chip at a marginal cost of $6 per unit faces a demand elasticity of ?2.5. Which price should it charge to optimize its profits?
The income elasticities of demand for movies, dental services, and cloting have been estimated to be +3.4, +1, and +.5, respectively. Interpret these coefficients. What does it mean if an income-elasticity coefficient is negative?
Explicates how every of these public polices involves demand for cigarettes by teenagers.
The government budget is balanced, with government purchases and taxes both fixed at $1,000. Net exports are $100.
Suppose you decide to elicit high CEO effort when and if bad luck occurs by paying bonus for $500 million outcomes. Illustrate what criticism can you see with this incentive contract plan.
What happens to the price level pt when the money growth rate m changes, holding the current money supply mt constant?
Explain would your answer differ if you and your rival were required to resubmit price quotes year after year and if, in any given year, there was a 50 percent chance that Toyota would discontinue the Highlander.
Which of the following taxes contributed the greatest percentage of total federal government tax revenues in recent years.
How is it that higher tax rate can increase tax revenue in some cases, but a higher tax rate can decrease tax revenue in other cases? Relate this to the price elasticity of demand. (Excise Taxes)
Briefly explain why the three variables are appropriate explanatory variables to predict the consumption of services or why they are related to consumption.
Describe if the demand for the following products is price elastic or price inelastic, and explain your answer.
Please explain each effect of the three effects also explain the downward slope of the aggregate demand-aggregate supply model: Real-balances effect, interest-rate effect, and foreign-purchases effect.
A developer has recently offered US Airways 2.5 million for the land. Should US Airways gives training facility at this locations.
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