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The entry of new vendors in the market for ice cream will cause a: A.) movement down and to the left along the supply curve B.) movement up and to the right along the supply curve C.) shift to the right of the supply curve D.) shift to the left of the supply curve
Assume that the government increases its spending by $100 million to stimulate demand. In the long run, the effect of this spending is to
Illustrate how increase in human capital affects production function. Blue line (circle symbols) in graph below shows production function.
Star Company paid $5 per share dividend a week ago. General expectation is that the dividend would grow at 8% per year indefinitely. a) What is the expected dividend next year?
q1. edison electric companys president has been arguing that residential electric rates need to be raised relative to
Total surplus in a market does not change when the government imposes a tax on that market because the loss of consumer surplus and producer surplus is equal to the gain of government revenue. Taxes cause deadweight losses because they prevent buyers..
Wolfpack, Inc., a textile manufacturing company, is considering opening a production and shipping facility to keep up with demand for its pillows. The facility is expected to require an initial investment of $190,000 and will have a $36,000 salvage v..
Consider the argument made by Thad Williamson, article 3.4 in Real World Micro . Does "more" make us happier? If not, then why do we produce more? In your answer, consider the difference between the circuit of production under capitalism and that..
Which policy will discourage economic growth?
Luis wants to have $2,000,000 in net worth when he retires. to achieve this goal, he plans to invest 10,000 each year (starting one year from now) into an account that earns 10% interest compounded annually. The amount of time before Luis can retire ..
Does the lender gain or lose from this unexpectedly high inflation. Explain does borrower gain or lose.
Suppose the firm chooses this input combination. What is the firm’s short run cost function? What are the firm’s fixed costs? What are the firm’s variable costs?
Describe the Harrod-Domar growth model, and explain precisely how the model illustrates dynamic instability. Why is it often called the “knife’s edge model”?
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