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Suppose that you increase production from 100 to 101 units of a good. After doing so, your TR remains unchanged. Is the price elasticity of demand for this good elastic, inelastic, unitary elastic?
In 1992, thirst Bush administration was worried about a lingering recession. The administration announced that households would receive a reduction in their taxes for the year 1992. However, this was not accompanied by a reduction in tax rates, and t..
What is the equilibrium output and price level? If aggregate demand shifts right, what is equilibrium output? If aggregate demand shifts left, what is equilibrium output?
The DOT is testing a new restoration & maintenance resurfacing project. The annual cost of the new equipment is $120,000/year and material cost is $4/mile. Alternatively, the traditional process requires equipment that cost $150,000 today with a 15 y..
Draw the domestic market for airplanes. Show the effect of the economy opening up to trade, with the world price below the equilibrium price in autarky. Draw and carefully explain how consumer surplus, producer surplus and total surplus are affected ..
Suppose that the price of good X is $10, the price of good Y is $20, and our income is $100. a. What is the maximum amount of good X you can buy? What about good Y? b. Write down your budget constraint and solve it for Y. c. Sketch a graph of your bu..
In the 1970s, information technology was primarily concerned with _______, while today information technology is the focus.
Explain the following concepts: demand schedule, demand curve, supply schedule, supply curve. Then, list the determinants of demand and explain how a change in each determinant affects the demand curve. Do the same for the supply.
Summarize in words the predictions and limitations of the theoretical framework developed for the first exam: that is the predictions for the effect of capital accumulation.
Give an example from your workplace or personal experience of the law of diminishing marginal productivity. How might managers use the concept of diminishing marginal productivity to improve efficiency?
Why would you expect the velocity of circulation of a monetary aggregate such as M1 or M2 to rise during periods of high interest rates and to decline during periods of low interest rates?
Using graphing function on TI-83/84 Explain how price supply and demand are equal. At this price, explain how many tickets will be supplied and sold.
Copiers cost about twice as much as workers. Would you recommend they hire another employee or buy another copier?
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