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Two partners own together a small landscaping business in North Carolina, called Summer Lawn Care. They have been specializing in summer grass seeding, installation, and maintenance. Recently, the partners acquired special technology and know-how for winter grass installations and maintenance. They also added a tree cutting service as recent storms in the area had caused demand for this service to soar. One of the partners insists that the name of the business should change to Lawn and Tree Care, so that it better reflects the range of services and, thus, generates more customer interest, and thus contracts. The second partner wants to keep the old name and argues, "We have already paid for business cards, vehicle paint, signage, and ads in Yellow Pages". Evaluate the arguments of the two partners. Explain and illustrate their points by identifying the relevant and irrelevant costs for this decision.
A city called "Ludwig" is monocentric. The rate at which the price of apartments falls there as a function of the distance of the apartments from the central business district, isn't linear.
Consider a simple island economy where the sun is always gentle and warm and the breezes are cool. Let's call this island DanLand. There are four product markets in DanLand: coconuts, fish, textiles, and beer. Coconuts grow freely around D..
a state two economic principles of taxation. b which principle best justifies the excise tax on gasoline when the tax
If a competitive firm is currently producing a level of output at which profit is not maximized, then it must be true that marginal revenue exceeds marginal cost.
problem 1. suppose the market for oil is characterized by the demand p 7 - q where q is the total quantity supplied
Furniture manufacturing involves a huge number of options to satisfy consumer preferences, but this extensive set of choices slows production and raises costs.
Determine the profit-maximizing average monthly production capacity for DermaPlus for each of the possible reference-based prices identified by the consultant. Estimate the expected monthly profit in each case.
w suppose that the interest rate falls to 50%, and the household decides not to borrow or lend at alll. Is the household better off or worse off with the higher interest rate?
An improvement in technology lowers the cost of production of DVD recorders. Explain what happens to consumer surplus in the market for DVD recorders.
starburks is the company we are competing with we want to enter the market and determining the followingdiscuss any
is there any difference between the two approaches of the keynesian theory and the new keynesian theory in terms of
mary has variable costs equal to vc y2 f where y is the number of bouquets she sells per month and where f is the
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