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Which of the following is the primary disadvantage of producing inputs within a firm?
A. increases in transaction costs.
B. loss of specialization.
C. reductions in opportunism.
D. mitigation of hold-up problems.
Health expenditures in the U.S. have increased from 5% of GDP to 17% of GDP over the past 50 years. List and explain the 3 reasons for this increase.
your company is bidding for a broadband spectrum license. you have been asked to submit an optimal bidding strategy.
What model of profit maximization is applicable to the activities of a multinational company? Explain How “perfectly” competitive do you think are the following markets: 1) stock market, 2) bond market, 3) foreign exchange market, 4) world sugar mar..
You are a monopolist selling widgets. You face costs of C(Q) = 10 + 2Q^2. Suppose you face the following market demand: Q(p) = 3000 - 2p. What price will you charge? How many widgets will you sell?
What does the marshall-Lerner condition look like if the assumption that changes in the exchange rate are relatively small does not hold?
What is Malthus’ theory of effective demand? What is Malthus’ solution to the problem of general gluts? Describe how Ricardo and Malthus came to different conclusions concerning the Corn Laws.
Which of the following characterizes the classical view of the economy? For an economy, aggregate demand equals:
The case study presented in the chapter discussed cigarette taxes as a way to reduce smoking. Now think about the markets for other tobacco products such as cigars and chewing tobacco.
Explain the two causes of market failures. Given their definitions, could a market be affected by both types of market failures simultaneously What divergences arise between equilibrium output and efficient output when (a) negative externalities a..
1 a significant difference between monopoly and perfect competition is thata. free entry and exit is possible in a
If each vendor sells exactly 100 hot dogs a day and the demand for hot dogs from vendors in the city is Q = 4400-1200P, how many vendors are there?
Calculate the slope of the AE curve and the size of the multiplier if MPS = 0.20. Then, calculate the revised slope of the AE curve and the multiplier when you know that the imports and the marginal tax rate will reduce the slope of the AE curve by a..
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