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What is the answer for "You are mayor of your hometown, and one day you arrive at city hall to find angry voters demonstrating against you. They are mad because your office created a garbage-collection monopoly by awarding only one company a permit to collect garbage in your town. The voters claim that the company is overcharging and providing and poor service. They want you to do something that will lower rates and improve service. You call your staff economist, who presents evidence that there are substantial economies of scale to garbage collection. What are your options if you are interested in efficiency?
Suppose the cost function is C(Q) = 50 + Q - 10Q2 + 2Q3. What is the marginal cost of producing 10 units? my teacher said it was 401 for the answer but I don't understand how he got that answer because he asked the same problem and said that answer w..
Consider a market with only two firms. Demand on this market is given by D(p) = 20 – 3p. Initially both firms have the same constant per-unit cost c1 = c2 = 2. What is the equilibrium in this market if firms behave as Bertrand competitors? How much d..
A brewery is considering two potential production investments.
Banks manage their assets in a variety of ways. Explain the importance of “liquidity management”? What is the concern of the bank in regard to the liquidity of its assets? Bank Management is becoming increasingly complicated. What are the Four Major..
Suppose that currency in circulation is $600 billion, the amount of checkable deposits is $900 billion, traveler’s checks are $0, excess reserves are $15 billion, and the required reserve ratio is .15. a. Calculate the M1 money supply, the currency-d..
Consider an economy where 1999 is the base year used for all calculations of price indices and constant-price aggregates. The price of the average good counted in GDP was 5% higher in 1997 than in 1999 and real GDP in 1997 was $64,800. In 1998 the ra..
Fiscal policy, the money market, and aggregate demand Consider a hypothetical economy in which households spend $0.75 of each additional dollar they earn and save the remaining $0.25. The following graph shows the economy's initial aggregate demand c..
Calculate the price elasticity of demand for Einstein%u2019s Bagels and explain what it means. Derive an expression for the (inverse) demand curve for Einsteins%u2019s Bagels.
Elucidate how you arrived at your answer and be sure to show all your calculations. Explain how many units of output will the firm produce at a price of $100 per unit
If a nation has an open economy, it means that the nation: In Adam Smith's trade model, labor is the only factor of production and the labor theory of value is the basis for cost. According to Smith's trade model in a two-nation, two-product world, a..
As with any quality improvement exercise, the journey to reducing COPQ should begin by sizing up the enormity of the challenge. Data collection on COPQ, analysis, and planning of an improvement strategy that attack chunks of the glacier rather than i..
How do global advertising campaigns benefit the company - what are the global advertising strategies of this company? How effective are they?
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