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Suppose that the demand for tickets to a game is given by P=100-0.002A, and the corresponding marginal revenue is MR=100-0.004A, where A is the number of attendees. Assume that the constant marginal cost of fan attendance is 10. a) What are the price and attendance with competition? b) how much consumer surplus exists? c) What are the monopoly price and attendance? d) How much profit does the monopolist earn? e) How much consumer surplus is left? (if any) f) Calculate the social welfare loss.
Suppose the firm is operation in a high-way country, where capital cost is $100 per unit per day and labor cost is $80 per workers per day. which technology is cheapest for each level of output.
With increased access to wireless technology and lighter weight, the demand for laptop computers has increased substantially. Laptops have also become easier and cheaper to produce as new technology has come online. Despite the shift of demand, pr..
If Latanya plans to use the phone for one hour to talk with only one person, with whom would she rather speak.
Do protectionist policies benefit producers, consumers, workers, or the government
China's entry into the World Trade Organization (WTO) is likely to create more competition between local also foreign firms also provide China greater access to the marketplace for export.
Elucidate how and why the unemployment rate fluctuates with the inflation rate as is depicted in the Short-Run Phillips Curve.
hat drug is nearly through clinical trials, and is expected to produce an acceptable return on the investments that have been and will still need to be made in it.
Amend the diagram and use similar algebra to figure out Illustrate what happens again.
Illustrate what is the key assumption of the basic Keynsian model? Explain why this assumption is needed if one is to accept the view that aggregate spending is a driving force behind short-term economic fluctuations.
Illustrate what impact might such a reduction in purchases of U.S. treasury securities have on the cost of short- also long-term financing.
A New York Times editorialist recently advocated a cut in the payroll tax.
Utilize this concept to construct an example in which a risk-averse individual prefers a gamble to a certain amount of money.
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