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Suppose a firm purchases labor in a competitive domestic labor market and sells its product in a competitive international product market that covers the whole world. Domestic producers represent a small portion of the world market and have no influence on the product price. The firm's elasticity of demand for labor is ?0.5. Suppose the wage increases by 6 percent. What will happen to the number of workers hired by the firm? What will happen to the marginal productivity of the last worker hired by the firm? Explain.
The effectiveness of different kinds of incentive systems: moral, material, and coercive.
If the price of A rises to 4 while other prices and Daniel's budget remain unchanged, how much or each does he purchase in equilibrium?
Joe is an empire builder". That is, his goal is to produce and sell as much as possible. Show that Joe's output is a decreasing function of all input prices.
Currently, every book it sells is priced at $10.50. Show strategy to offer a discount that lowers the price of a book to $9.50, a 10% reduction in price using the midpoint formula.
q. assume the united states exports 2000 computers at a cost of 3000 each and imports 200 uk autos at a cost of
Discuss how each of the 4 factors contributed to the elasticity of the good.
Suppose the managers of the two firms decide to collude. If they formed a cartel, illustrate what would be the profit maximizing level of output.
Illustrate what is the present value assuming a discount rate. Level of consumption or saving will be illustrate what.
Explain the following business cycle theories
Explain why the demand for the good or service provided by the organization you work for is elastic or inelastic. How does this influence pricing decisions?
q1. which one cash flow or net income do you think is more important to apple inc final project company and more
Illustrate what are the firms ATC per unit at these three levels of production. If every firm in this industry has the similar cost structure, is the industry in long-run competitive equilibrium.
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