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Suppose a business experiences a sudden increase in its fixed costs. For example, suppose property taxes increase dramatically. What impact, if any, will this have on the following?
a. the firm's AFC (average fixed cost);
b. the firm’s AVC (average variable cost);
c. the firm’s ATC (average total cost); and,
d. the firm’s MC (marginal cost)?
2. What changes, if any, is there likely to be in these same cost CURVES?
A local restaurateur whose trade had been profitable for many years recently purchased a liquor license, giving her a legal right to sell beer.
q1. suppose that bargaining as envisioned by the coase theorem can take place and that the homeowners initially hold
If a single bank faces a required reserve ratio of 20%, has total reserves of $500,000, and checkable deposit liabilities of $400,000, what is the MAXIMUM amount of money this bank could create (add to the money supply)?
Illustrate what happens to the demand curve for turkey in the u.s. In November. What happens to the curve after the holiday. Why do these changes occur.
if the price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of output in the short run, a perfectly competitive firm.
Explain how many fish should a commercial fisherman try to catch a day. Should he catch as many as possible or return to dock before filling the boat with fish.
Explain how is world currency valued against the US dollar such as Euro and Chinese.
A small airline recently sold to a private equity group for $145 million. The airline has earned profits of $9 million last year. The new managers believe they can grow profits at 5% per year. The private equity group borrows money from wealthy indiv..
What is a one invention that had good impact on the international economy and why. What were the impacts of this invention were impact good or bad.
what is the best level of output of a perfectly competitive firm in the long run?
Illustrate the effect of capital formatin by comparing the production possibility curves, at the present time and ten years in the future, for two economies, one with a high and the other with a low rate of capital formation.
this leads to an increase in demand for apple sauce from 100 to 140 jars, what is the cross price elasticity of apple sauce and pork chops at a pork chop price of $6?
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