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Economists use the word "capital" to mean
a- purchases on the market for stocks and bonds
b- the workers thar firms employ to produce goods and services
c- people's skills and talents.
d- the tools, instruments, and other produced goods used to produce goods and services.
e- the funds that firms use to buy and operate their businesses
Why is income from capital gains taxed differently than wage income? There are perhaps historical, practical, and theoretical reasons. What are they?
Assume the economy has a GDP of $11,500 billion. The unemployment rate is at 7.3% and has been slowly rising for the last 6 months. Inflation was at 2.3% one year ago but has since dropped to near 0%. The MPC in the economy is .75 and the natural rat..
What phrase best describes medical care spending in the United States? Which of the following will not change the demand for office visits to the physician? The dead-weight loss from an excise tax. Supply curves are positively-sloped because of
qx 100 - 0.4pxqx 40 0.2pxa. at what price level would demand for good x equal zero?b. at what price level would
Consider an economy where, consumer’s utility function is given as U(C,L)=C-(1/2)L2 . where C is consumption and L is labor. The production technology is Y=(1.6)L-(1/2)L2 . The turnover cost per labor is (0.36)/(w/p). Find real wage, employment, outp..
In the USA buying and selling of human organs is illegal. Those who need organs cannot buy organs from the market and those who donate organs cannot sell their organs. We also know that lot more people are waiting for organs than the number of human ..
What is consumer surplus?
A firm is currently producing 80 units of output. At this level of output produced, P = 150 and ATC = 120. Also assume that MC = 130 and MR is constant at all output levels and equal to 150. Is this firm making profits? If so, what are these profits?
Calculate scale elasticity at the mean of the data; In order to reduce unit cost would you recommend an increase or a decrease in total production? Why?
The net result was the Japan's automobile industry improved its productivity throughout this period relative to the US, which generally just kept up with inflation due to its already high rate of accumulated experience also relatively slow growth.
Where formal cartels are illegal, what techniques can firms use to attempt to prevent price wars from breaking out and to maintain a price level in the market, which approximates the level that a monopolist would charge?
q1. you have an opportunity to invest in a new plant. the fixed costs are 100000 per year. the marginal cost of
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