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The following (x, y) pairs give the advertising dollars (in millions) spent on direct mail and newspaper advertisements respectively for the same years.
(a) Find the line of best fit and the regression coefficient.
(b) Roughly speaking, how do the two expenditures relate to one another?
(c) Do you think that advertising people believe that one of these forms of advertising can substitute for the other. Data: (10.3,17.7), (8.9,16.5), (7.6,14.8), (4.1,8.2), (2.8,5.7), (1.8,3.7).
Also assume that the firm faces competitive input and product markets and that the two inputs are gross complements in production. Show graphically the long-run labor demand as the wage increases. What happens to long-run demand for capital? Be su..
b. If the government establishes a price floor of $9, explain what will result in terms of excess demand or supply. c. If the government establishes a price ceiling of $6, explain what will result in terms of excess demand or supply.
What is the error if the derivative is used to approximate the marginal revenue?
A company has an annual requirement for 150,000 parts, which cost $125 each. The parts require processing having a $4,000 setup cost. Each part occupies 0.5 sqft of floor space in the factory. Floor space has a total cost of $12.50 per square foot..
A firm is currently considering plant expansion. There is some question as to what minimum attractive rate of return to use in the economic analysis of the proposed expansion. Banks are currently lending money at 11.5%.
Two firms currently produce the goods q1and q2separately. Their cost functions are C(q1) = 25 + q1, and C(q2) = 35 + 2q2. By merging, they can produce the two goods jointly with costs described by the cost function C(q1, q2) = 45 + q1+ q2.
a) How many firms will operate in this market at a long-run equilibrium b) How would your answer change if each firm faced a price elasticity of demand of -4/3 and charged a profit maximizing price of $400 per unit
What event can be used to explain the increase in the employment of information technology workers during the 1990s? What about the decrease in employment during the 2000s?
A corporation has 15,000 employees. Sixty-two percent of the employees are male. Twenty-three percent of the employees earn more than $30,000 a year. Eighteen percent of the employees are male and earn more than $30,000 a year.
Comparing and contrasting three of the economists and their philosophies. In your summary, articulate only one economist you believe is most representative in today's U.S. economy and defend your position with persuasion
Assume that the GNP is Php 10 billion, and the government budget deficit is Php 200 million. The consumption expenditures is Php 3.8 billion and the trade deficit is Php 100million. a) How large is the savings (S)
What is the maximum amount you are willing to pay per year for the franchise?
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