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1) A firm has a production function defined as y = 40L1/10K7/10. The firm faces costs of $10 wages, and $100 rental rate of capital. Find the cost function, and average total cost, average variable cost, and marginal cost functions.
2) A firm has a production function defined as y = 8L1/4K3/4. The firm faces costs of $20 wage, $60 rental rate of capital, $2 per unit produced, and a $42 fixed cost. Find the cost function, and average total cost, average variable cost, and marginal cost functions.
She has no accounting background. Leonard cannot understand why market value is not used as basis for accounting measurement and reporting. Explain what basis is used and why. What is importance of economic entity assumption.
The study of government regulation and the competitive environment for business is relevant to all those who study business. All business candidates need to understand how the competitive environment will impact their employers and businesses.
From the new York times. What business and/or economic factors prompted the decision? Did the managers involved satisfied or optimize? What was their risk approach to the decision they made? In your assessment, how creative was their decision?
Statements best describes the twelve Federal Reserve Banks - When the Federal Reserve buys U.S. government securities on the open market. this tends to bank reserves and the money supply
Explain clearly what the "phantom" or compensated budget constraint represents. Explain clearly what the income and substitution effects are. Use examples if you wish.
Coffee prices in 1960 were .40 cents and are $1.65 in 2009. Income in 1960 was $10,000 and is $40,000 in 2009. Does this mean that society is worse off or better off in 2009 than in 1960? Under what conditions are consumers better off? Besides the ch..
A common news story in any jurisdiction with single payer health care systems - for example, in Canada their socialized system does not allow private health care alternatives - is the battle that pits the government health system's refusal to pay for..
The interest rate affects the investment patterns in the economy. A friend of yours suggests a get-rich-quick scheme: Borrow from the nation with the lower nominal interest rate, invest in the nation with the higher nominal interest rate, and profit ..
Assume there are N firms A1 , . . ., AN serving a market with demand given by D(p). Assume that these firms compete for market share via quantity competition. Finally, let cAi (Q) denote the cost function for firm Ai. Describe this environment as a g..
Create two separate graphs that show current changes in equilibrium interest rates using the MD and MS curves. Describe the following: The Fed's actions to fight recession, The Fed's actions to lower inflation. Describe the transmission process of mo..
Calculate the price elasticity of gasoline. Calculate the price elasticity of demand for gasoline. Calculate the elasticity of supply using the information provided. Calculate the changes in consumer and producer surplus. Because there is no viable s..
Select a country and research whether trade and immigration has worsen wage inequality. What are some possible solutions to reduce the amount of wage inequality?
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