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Consider the following market demand function for coal is p t = 200 − 0 . 1 q t . A mining company own a coal mine that has recoverable deposit amount of 2000 tonnes. The firm’s marginal extraction cost is $50 per unit. Assuming only two production periods, a discount rate of 10%, and a perfectly competitive coal market
(a) compute the dynamically efficient production plan
(b) calculate first year and second year prices.
(c) Present the solutions on the same graph
List all of the friends and relatives you have who are working for an export industry, or for a foreign-owned firm, or all the foreign-owned firms in your city or town. Under what conditions do people advocate for TRADE RESTRICTIONS?
q1. how concentrated are income gains among the top 110th of one percent?q2. how does cost-consciousness help in better
Illustrate what are the monopolist's profit-maximizing price and total output.
Your firm is considering purchasing an old office building with an estimated remaining service life of 25 years. Recently, the tenants signed a long-term lease, which leads you to believe that the current rental income of $300,000 per year will remai..
Assume a US saver with $1,000 to place in a domestic or European bank CD. The interest rate for US and European savings equals 4%. If the saver keeps her money in the US, her return equals ____. If the saver moves her money to Europe with a forward t..
There are two industries in a simple economy producing commodities x and y. Industry x produces with constant long run cost. The government levies a per unit tax on industry x of tx. Graphically analyze the short and the long run effects of this tax ..
SaveUmoney Tax Services (STS) is a small operation that offers tax services to individuals and small businesses. A local marketing consultant has estimated the weekly demand for STS's services as follows: Q = 1200 - 6 P + 25 A where: Q = the number o..
Fred is well known in his town for his homeopathic cough syrup. After years of encouragement, he has decided to take his miracle cough remedy to market as “Fred’s Miracle Cough Syrup.” While his cough syrup is homeopathic, one of the key ingredients ..
In order for price discrimination to exist
illustrate what is the specific marketplace-failure justification for governing spending on public universities
q1. peter and sally enter a bus and two adjacent cramped seats are free. they must decide whether to sit or stand.
When the polio vaccine first became available in the United States, the government controlled the price with an effective price ceiling. Production of the vaccine was not sufficient to fill all orders and the government had to regulate its distributi..
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