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You are hired as a consultant by FarAwayDrive, the only golf balls producer in Japan. Assume the demand curve for golf balls in Japan is Q = 180 - 30P. What price will you recommend if FarAwayDrive wants to maximize its total revenues? Please fully justify your answer.
The US economy is currently operating below Potential GDP. Without using someone else's estimate of Potential GDP, how would you approach calculating how much current activity is below Potential GDP? Where would you get the data for your calculation?..
How are individuals impacted by the financial markets? How does the financial markets impact economic growth? Venture capitalism and risks? How does healthy financial markets create jobs?
Suppose Philip Morris and R.J. Reynolds can write an enforceable contract about illustrate what y will do. Illustrate what is cooperative solution to this game.
Summarize the controversy over the value of the Chinese yuan in foreign currency markets. Is China still using central bank foreign exchange policy to maintain the value of the yuan? What is the current policy of the United States on this issue?
q1. what is the relationship between marginal cost and marginal revenue when single-price monopoly maximize profit?
When firms have an incentive to exit a competitive market, their exit will. If a perfectly competitive firm currently produces where price is greater than marginal cost it. If a competitive firm’s sets its output such that marginal revenue, margi..
A firm uses two inputs, X and Y and its production function is Q = radical(xy), where here we are using x and y to represent the quantities of the two inputs. Calculate the marginal products of X and Y. (b) Does the firm’s production function satisfy..
What is the lowest price John can offer for this contract?
In early 1980s, U.S. economic policy was directed toward reducing inflation. Illustrate what would you have expected to observe during this short period of time.
Consider the discrete Bertrand game described in the Oligopoly lecture notes/video. According to the rules of this game each student selects a number from the set {0,1,2, 3, 4, 5, 6, 7, 8, 9, 10} and is randomly matched with another student. Whoever ..
Why do Keynesian economists believe market forces do not automatically adjust for unemployment and inflation? What is their solution for stabilizing economic fluctuations?
Consider a transaction between two market participants. Suppose Wendy is a buyer who is willing to pay as much as $50 for a concert ticket. Suppose Bruce has a ticket and would like to receive $25 if he decides to sell it. Assuming the market price f..
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