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Suppose you have the cobb -Douglass production function k^2L^1/2.
a. Calculate the optimal combination of input goods (K and L that the firm should purchase as function of g, w, and v).
Cigarettes are subject to a federal tax, which was about 40 cents per pack in 2007.What does this tax do to the market-clearing price and quantity?
Suppose economists observe that an increase in government spending of $10 billion raises the total demand for goods and services by $30 billion. 1. If these economists ignore the possibility of crowding out, what would they estimate the marginal p..
You do not need to provide actual numbers; rather, show on the price axis where the price would be before the externality is considered and the price after the externality is included. What problems might exist in determining this new, externality..
housing supply and demand is an example of the effects supply and demand can have on price elasticity. the most recent
If Apple iPod only played iTunes, and iTunes only could be heard on the Apple iPod, could Apple price the technologically integrated bundle any way they wanted?
a.What happens to the reserves of the bank b.What happens to the money supply in the economy as a whole if the reserve requirement is 10%, all payments are made by check, and there is no net drain into currency
Illustrate the black market for internet access, including the implicit supply schedule, the ceiling price, the black market supply and demand, and the highest feasible black market price.
Suppose you have the following demand function for the good x: x* = 80(py/px) - 0.5I. Are goods x and y complements or substitutes? How do you know?. Does good x demand satisfy the first law of demand? Why or why not?
The local utility company applies a "declining block" rate structure for its industrial consumers, that lower unit price is charged for higher quantity blocks of electricity and water usage. Is the company practicing any type of price discriminati..
john operates a small business out of his home and has very little in terms of fixed costs. answer the next questions
The budget deficit is of tremendous concern and all law makers agree that some measures should be taken to reduce it. However, The Republicans see the issue as a spending problem, while the Democrats see it as a revenue problem.
the domestic demand for goods x is dd 100 - 20p. the domestic supply of good x is sd 20 20pa. draw the domestic
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