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What according to the mainstream theory of the business cycle is the most common source of recession: a decrease in aggregate demand, a decrease in aggregate supply, or both? What is the most likely component of aggregate demand to start a recession? How does the aggregate demand multiplier influence a recession?
What is the profit-maximizing P in the case that Godzilla and Macrosoft merge
Compute the cross-price elasticity of demand between goods X and Y at the given prices. What is the own price elasticity of demand at these prices?
The price of Burger King's Whopper hamburger declines and mcDonald's distributes coupons for $1.00 off the purchase of a Big Mac.
What will price and output be if there is no dominant firm? Now assume that there is a dominant firm, whose marginal cost is constant at $6. Derive the residual demand curve that it faces and calculate that it faces and calculate its profit maximi..
Use the graphical method to determine how many of each type of boot should be produced and what are the shadow prices of materials and labour?
Confirm your quantity and price results algebraically and calculate the price elasticities of demand in each market and discuss these in relation to the prices to be charged in each market.
Which of the following changes to fiscal stimulus package of 2009 for $862 billion (under the bill called American Recovery and Reinvestment Act of 2009) would have a larger overall impact on AD? Explain your answer with credible logic and analysi..
Show graphically how regulating the value of a monopolist can both increase quantity and lower price.
How would your answers to part c above change, if you could still use a TPT strategy but you could not discriminate between the customers?
Assume that the government decreases spending by one hundred billion dollar. What happens to aggregate demand and discuss the differences between fixed and variable taxes.
Entrepreneurship is a factor of production which adds value to the production process and therefore earns a legitimate return to its exertion. How would you evaluate these two contrasting views, and what are their implications for society?
Explain why it is or is not possible to calculate the elasticity of demand for alcohol consumption for the state situation?
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