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How long can a business operate when achieving 'diseconomies of sale'? Explain your answer using a specific example or scenario.
Those who committed this breach of trust were often shunned by the whole community; no one would speak to the offender, or even acknowledge his existence for a year or more. What economic problem were the village elders trying to prevent? Do you t..
Find the equilibrium interest rate by setting the demand for central bank money equal to the supply of central bank money.
What is the monopolist's profit maximizing level of output? What price will the profit maximizing monopolist charge?
Presume the U.S. government’s tax policies on employer health coverage were to be changed. In particular, presume health premiums paid through the employer were no longer tax exempt. In its place, the government provides a 25 percent subsidy for all ..
What compensation options are available to employers? Describe each. Many have argued that the most important reason for adopting incentive compensation is to communicate to employees how they contribute to the company's success. Do you agree or d..
What are the advantages and disadvantages of free trade From an economic point of view, is free trade better than limited or no trade? Have you benefited from free trade How How is the economy impacted by trade
A country with fixed quantities of resources is able to make any of the following combinations of bread and ovens.
Assume that the marginal cost curve of an individual firm is MC = q/15 and the minimum average cost is 10. Derive the short run industry supply curve assuming there are N vegetable oil producers (Hint: Set MC=P, solve for q and then multiply the resu..
Think that the following entry game. Here, company B is an existing company in the market, and company A is a potential entrant. Company A must decide whether to enter the market or stay out of the market.
Compute the internal rate of return for a machine that costs $20,000 and provides annual revenue of $5,000 per year for five years. You can assume all revenue is received once a year at the end of the year.
Complying with more stringent environmental regulations increases the firm's fixed cost from 100 to 144. Would this affect the firm's output? Its supply curve?
Consider two metropolitan areas, one that has many small school districts and one that has only a few large school districts. In a paragraph, what are the efficiency and equity effects of introducing a voucher system likely to differ across these two..
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