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Explain why the rental rate of capital reflects the opportunity cost regardless of whether the firm rents its capital or owns it.
What is the difference between fixed costs in the short-run and fixed costs in the long-run?
If the cost function for a firm is C = 25q2 + 15q
Calculate the average cost.
Calculate the marginal cost.
Does this cost function exhibit any fixed costs?
Why does the marginal cost curve intersect the average total cost curve at the minimum of average total cost?
Ifw=10andr=2
a. Draw the isocost line for C = 100.b. Draw the isocost line for C = 100 if the wage is now w=5.
A firm's production function is q = K1/2L1/2, the wage is w = 25 and the rental rate of capital is r = 16. Find the optimal amount of K and L if the firm produces 20 units of output.
A firm's production function is q = KL, the wage is w = 25 and the rental rate of capital is r = 9. Find the optimal amount of K and L if the firm produces 100 units of output.
Suppose you earned $50,000 last year, and inflation is at 5%. You receive a salary increase of $2,000. Explain your increase salary in nominal and real terms.
Suppose a hugely successful web company has utilized free economics, expanded its scale of operations also spread its long-run costs over larger also larger audiences. After years of profits, the company's profits fell continuously. Using production ..
The weak preference relations of Bob and Carol can be represented by real valued utility functions
My paper is about evaluating the potential for State Farm Insurance expands
Determine the optimal size of the shopping center (to the nearest 100 square meters) based on existing estimates of the demand for retail space.
Suppose there is an increase in demand (rightward shift in demand). Consider two graphs. In Graph [X], supply is relatively inelastic. In Graph [Y], supply is relatively elastic. Which of the following is true? Drawing graphs will help.
Which would increase investment demand?
consider a monopolistically competitive market with n firms. each firms business opportunities are described by the
the life insurance industry maintains that the average worker in saskatoon has no more than 25000 of personal life
Last Friday night, Rich went to a tavern to buy pizza and bottles of beer. He noticed that four pieces of pizza and two bottles of beer cost the same as two pieces of pizza and eight bottles of beer. What is the cost, in bottles of beer, of a slic..
Suppose you have a negotiation between management an labor concerning labor wages. Management and labor do well when they each do the opposite of what the other does i.e the best situations for both are: (i) for management to bargain hard (offer low ..
The marginal cost pricing model computes a mark up over marginal costs using estimates of the price elasticity of demand. Will any other pricing strategy result in higher profits?
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