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Karen runs a print shop that makes posters for large companies. It is a very competitive business. The market price is currently $1.00 per poster. She has fixed costs of $100.00. Her variable costs are $1,500 for the first thousand posters, $1,200 for the second thousand, and then $800 for each additional thousand posters.
What is her AFC per poster if she prints 1,000 posters? AFC per poster if she prints 2,000 posters? What is her AFC per poster if she prints 10,000 posters? What is her ATC per poster if she prints 1,000? What is her ATC per poster if she prints 2,000? What is her ATC per poster if she prints 10,000?
Which of the following are flows. If a flow, which of the five major kind(s) of capital does it increase or decrease.
Suppose a society decided to reduce consumption and increase investment. How exactly would this change affect long term economic growth?
Suppose current interest rate is 5% and you pay $250 for a bond. How much should bond pay you in one year.
Compare and contrast economic development strategies based on import substitutions versus export promotion.
Elucidate what happen in the short run to market supply and demand curves, market price, the firm's output, the firm's profit.
Discuss why demand curve faced by a Perfect Competitor is assumed to be perfectly elastic and that of a Monopolist less elastic.
How does an increase in the saving rate affect the break even and actual investment curves in the Solow model? Use graphs also.
q.let the inverse demand curve be d q 56 - 2q q q1 q2. costs for each firm are a constant variable cost of 2 a unit
Draw the MC cure for Guns in terms of the production of butter. If the economy produces 3000 guns per day, how much butter can it produce per day.
Using the concepts of marginal utility and marginal cost, discuss the nature of the inefficiency in each of the following cases: an arrangement that offers relatively little coffee and much tea to people who prefer coffee and does the reverse for tea..
Assume that this cost is set by an upstream wholesaler with monopoly pricing power.
Primary, assume all retailers sell the basic version of Vista also Circuit City were to raise the price at which it sells Vista.
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