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Raising chickens requires several types of feed, such as corn and soy meal. Consider a farm in the former Soviet Union. Try to describe how dicisions on the number of chickens to be raised, and the amount of each feed to use in raising them, were made under the old communist regime. If the farm is now privately owned, how does the market guide the decisions that used to be made by the central planning agency?
Assume total benefits also total costs are given. Elucidate level of Y will yield the maximum net benefits.
Explain how the aggregate expenditure function shifts in response to changes in each of the following variables:
Explain how could you use the concepts of marginal cost and marginal revenue to maximize profit? What information do you need to determine this.
Let's say there's a world-wide influenza pandemic. Assume that the marginal cost (supply) of influenza vaccinations is constant at $40. Assume that everyone in society has health insurance that pays 80% of all medical services
Suppose you are Chief Economist of the FCC. The Chairman has called you in to discuss a thorny issue. Two wireless broadcasters operate on adjacent frequencies.
Full employment income is estimated to be $11,000. The current interest rate is estimated to be 4.178 recent. While last year total business investment spending was $900.
Assume that there are many countries capable of producing two goods, and that each country has only one factor of production, labor.
A potential entrepreneur is trying to make a decision whether to open a new spa. She presently makes $35,000 per year as an aerobics instructor
Describe why a reduce in aggregate demand results in a lower level of employment, given a fixed aggregate supply.
Suppose you are the production manager for Widgets, Inc. Your job is to produce a fixed amount of output at the lowest cost possible. When you take over the position, you find that the price paid for a unit of labor is $20 (W = $20), and the price..
Nominal GDP in a country was $8,759.9 billion in 2003 & $9,254.6 billion in 2004. The price index was 102.86 for 2003 & 104.37 for 2004.
One of major political developments of last many decades is the increasing size and economic or monetary integration of the European Union. Determine what effect do you think this will have on international trade between nations?
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