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Q1. If one defines incremental cost as the change in total cost resulting from a decision, and incremental revenue as the change in total revenue resulting from a decision, any business decision is profitable.
Q2. Bob runs a pedicure business in a perfectly competitive industry. He knows that he will break even if the price of pedicures is $15 but that he will have to shut down if the price is $11. If the market demand in the industry is P = 30 (0.2)Q and the market supply is P = (0.2)Q, then in the short run of Bob.
Calculate Marginal Revenue from demand if the marginal propensity to save is 0.05, how large is the multiplier.
Use supply and demand model to explain the dramatic rise in the price of a college education.
What are the factors that affect pay differentials? How does each factor increase or decrease relative wages?
If most businesses in an industry are earning a 13 percent rate of return on their assets, but your firm is earning 23 percent what is your rate of economic profit
Explain how the short-run Phillips curve, the long-run Phillips curve, the short-run aggregate supply curve, the long-run aggregate supply curve, and the natural rate hypothesis are all related.
Mining is proposed for a wilderness area that provides two benefits: recreation due to backpacking opportunities and biodiversity there are endangered wildlife and plants.
Distinguish between the resources market and the product market in the circular flow model.
Dependency theory characterizes countries as being either in the center or on the periphery
Find the equilibrium values of the real interest rate, consumption, investment, and the price level.
Ordinary least- squares method or the two- satge least squares method for estimating industry demand for rutabagas.
Define Mercantilism, Pick a country and talk about the products they import and export with the U.S.A. Also talk about the composition of trade with relation of abundance of the two countries
Firms raise capital from investors by issuing shares in the primary markets
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