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You have won a free ticket to see a Charlie Parr concert (which has no resale value). Ewan Dobson is performing on the same night and is your next best alternative activity. Tickets to see Dobson cost $20. On any given day, you would be willing to pay up to $50 to see Dobson. Assuming there is no other costs of seeing either performance, what is your opportunity cost of seeing Charlie Parr? Explain.
At the beginning of the year, an audio engineer quit his job and gave up a salary of $175,000 per year in order to start his own business, Sound Devices, Inc. The new company builds, installs, and maintains custom audio equipment for businesses that ..
If two people spend the same amount of money for a day at Disneyland (pay the same price for admission, pay the same amount for parking, etc.), then they have the same opportunity cost of spending a day at Disneyland. All else equal, a consumer would..
Suppose the graph above is for a single-price monopoly. What is profit for a firm that makes the optimal price and quantity decisions?
Analyze the macroeconomic factors that led to the 2007–2009 recession. How were GDP, inflation, and unemployment affected during the recession, and how does the model show this? What monetary policies and fiscal policies were implemented during the r..
Suppose price levels were falling 10% per day. How would this affect the demand for money? How would it affect velocity? What can you conclude about the role of velocity during periods of rapid price change?
Draw a graph (hand-drawn is acceptable) that illustrates the demand and supply of a perfectly competitive industry. Indicate the following in your graph: the equilibrium price; the equilibrium quantity; the producer surplus if the industry is a monop..
q1. what is meant by average propensity to consume? suppose that 1000 out of 10000 disposable income is saved. what is
Stores need not accept your check but must accept currency because
Discuss illustrate what will take place to the demand curve for economic text book in response to a reduction in student grants.
Demonstrate/discuss your theoretical understanding of the characteristics of monopoly and oligopoly, also apply your understanding to provide examples of each of these two market structures. What is the distinguishing feature of a monopoly? How does ..
Suppose that Abdul opens a coffee shop. He receives a loan from a bank for $100,000. He withdraws $50,000 from his personal savings account. The interest rate on the loan is 8%, and the interest rate on his savings account is 2%. What is Abdul's impl..
Countries want to protect their own markets, but also they are keen to support local manufacturing and help local products succeed on the global markets. Thus, some countries resort to subsidizing exports in order to make the products cheaper on the ..
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