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ABC Corporation is considering an expansion project. The necessary equipment could be purchased for $22,551 and shipping and installation costs are another $1,581. The project will also require an initial $7,784 investment in net working capital. The company's tax rate is 40%. What is the project's initial investment outlay?
Briefly discuss China’s journey on its economic achievement from pre-independent until today.
q.firm 1 is the incumbent in a market lasting two periods with inverse demand curve p74 -9q. its first-period costs are
What are the economic justifications of the size premium? In factor pricing models like the intertemportal capital asset pricing model (I-CAPM) or arbitrage pricing theory (APT), it is assumed that exposure to one of these factors represent exposure ..
How does the possibility of Ricardian rents complicate inferring market power from market share and profits? Why does the capitalization of monopoly profits make it difficult to determine a firm's market power? Explain.
What is the difference between relative factor endowments and relative factor intensities? What does the Hecksher-Ohlin theorem say about home versus foreign countries while they remain in autarky?
Robert’s New Way Vacuum Cleaner Company is a newly started small business that produces vacuum cleaners and belongs to a monopolistically competitive market. What are the profit-maximizing price and output levels? Explain them and calculate algebraic..
What are the characteristics of an oligopoly? Using the concept of duopoly and the price leadership model, discuss demand and pricing strategies in an oligopolistic market structure.
What is the role that multinational corporations play in world affairs, according to proponents of globalism? What is the role that MNCs play, according to critics of globalization? Which view do you find most persuasive? Explain. Select a nation, co..
Suppose you need to remove 70 exotic fish from a lake into which they were unintentionally introduced. You have three possible removal methods, methods 1,2 and 3. How much of each method should you use to achieve the removal cost effectively. Why isn..
A firm produces handbags using three workers. On Tuesday, Jane completed 60 bags in 6 hours, Ron completed 50 bags in 7 hours, and Mary completed 80 bags in 5 hours. What was overall productivity of firm.
Consider the case of extremity selection, where both the most skilled and the least skilled from a source country choose to migrate. In the Roy Model, what must the graph of the return to skill on the two countries look like to generate this scenario..
Explain the equilibrium price will remain unchanged, smokers will consume the same number of cigarettes. Do you agree or disagree with this view.
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