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Each of the 10 firms in a competitive market has a cost function of c=25+q^2. The market demand function is q=120-p. Determine the equilibrium price, quantity per firm and market quantity.
A large electronics company is organized into mainly profit-center divisions. The components division and the consumer electronics division are profit-center divisions of the company. The consumer electronics division assembles components into device..
Illustrate what should the Fed do if it wants to stabilize aggregate demand.
Suppose that in year 2008, the money supply is $400 billion, nominal GDP is 9 trillion, and real GDP is $4 trillion. Illustrate what is the price level. What is the velocity of money.
The tools of monetary policy for altering the reserves of commercial banks are the
Suppose market demand and supply are given by Qd = 100 – 2P and QS = 5 + 3P. If a price ceiling of $10 is imposed, what will be the resulting full economic price?
determine the amount at time 0(now) equivalent to the cost of owning and operating the machine for the next five year period. It is anticipated that the machine can be sold for $1000 at the end of the five year period. Use an interest rate of 10%.
Given the following payoff matrix, (a) indicate the best strategy for each firm. (b) Why is the entry-deterrent threat by firm A to lower the price not credible to firm B? (c) What could firm A do to make its threat credible without building exces..
Suppose now that the country imposing the export tax in part (a) of this question is a “large” country rather than a “small” country. Is it an advantage or a disadvantage for a country to be “large” rather than “small” when it imposes an export tax? ..
Illustrate what is the maximum and minimum subscription price. If the subscription price is set at $48 per share how many shares must be sold and how many rights will it take to buy one share.
The annual income from a rented home is $24,000. The annual expenses are $6000. If the house can be sold for $245,000 at the end of 10 years, how much could you afford to pay for it now, if you considered 9% to be a suitable rate?
q1. bobs lawn-mowing service is a competitive firm. at the current level of production the firm mows 10 lawns a day.
What is contractionary fiscal policy? What is the purpose of contractionary fiscal policy? What are the possible contractionary fiscal policy solutions? What is built-in stabilizer in fiscal policy?
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