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Suppose the market price in a perfectly competitive market is $10. Suppose the marginal cost of the firm is given by: MC = 2Q + 2. Graph the profit maximizing decision facing the firm, showing the corresponding profit maximizing level of output, on a piece of graph paper. Then calculate the firm's producer surplus.
Suppose the own price elasticity of market demand for retail gasoline is -0.7, the Rothschild index is 0.6, and a typical gasoline retailer enjoys sales of $2,100,000 annually. What is the price elasticity of demand for a representative gasoline reta..
As people have more time to adjust to a price change,
"Other things equal, which reduces competition in an industry? "
Suppose that a proposal is under review to strengthen the NPDWS for benzene, and the associated abatement level would generate a marginal social benefit (MSB) that is greater than the marginal social cost (MSC) by $125,000. On efficiency grounds, sho..
When quantity moves proportionately to the same amount as price, demand is:
Describe an experiment that would quantify these two effects. Randomly select n students who have taken test only one time.
Also identify and discuss the flows that are created when Government enters the circular flow.
Compare the role of the individual and the role of the organization in ethical decision making. How can business promote an ethical climate - The organization role in ethical decision affects people who work for the organization and ultimately the ..
Using supply and demand and competitive analyses, explain what happens to a pharmaceutical company's revenues and profits from an individual drug once it loses its patent protection.
Suppose that there are 10 million unemployed workers in a country and 90 million employed workers. Suppose we know that the fraction of workers who lose their jobs in a given month is .02 and the probability that unemployed workers find work in a giv..
Espn currently pays the nfl$1.1 billion per year for eight years for the right to exclusively televise Monday night football. What is the net present value of this investment if the parent Disney company has an opportunity interest rate equal to its ..
What market structure does the sale of cellphones in the USA represent? Why? How has it changed since the monopoly of Ma Bell? Provide examples.
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