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A firm is currently producing in the elastic portion of its demand curve. What course of action do you recommend for it assuming it wants to raise revenue? Continue producing at the current output level, because it maximizes its total revenue by producing in the elastic portion of its demand curve. Reduce price, because if it reduces price and demand is elastic, total revenue will increase. Increase price, because if it increases price and demand is elastic, total revenue will increase. Continue selling at the same price, but increase the amount it produces
Two partners who owns IT Business Solutions, a company supplying specialist software, operate out of an office in Fourways, Johannesburg but have discovered a vacant office building close to Sandton City.
Two banks have lent $20million each to a country in an Emerging Market. Bank A has total assets of $220 million and a capital to total assets ratio of 7 percent. Bank B has total assets of $350 million and a capital to total assets ratio of 6 perc..
explain that investment can be increased both by reducing taxes on private savings and by reducing the government budget deficit A) Why is it difficult to implement both of these policies at the same time
Suppose that you observe that total utility rises as more of an item is consumed. What can you say for certain about marginal utility Can you say for sure that it is rising or falling or that it is positive or negative
Milk becomes more popular amd better feed increases milk production. how do these events influence demand and supply describe how the equilibrium price and equilibrium quanity changes.
Why should this employee probably choose to tell only some of the other firms rather than all of them and what factors will determine the best number of firms to sell the secret to?
Gentleman Gym just paid its annual dividend of $3 per share, and it is hugely expected that the dividend will raise by five percent per year indefinitely.
What is the market clearing price for this market? What is the market quantity and calculate the Consumer Surplus (CS), the Producer Surplus (PS), and the Social Welfare (SW).
A company obtained $500000 for a necessary technology from a venture capitalist who charges them 24% compounded monthly. the agreement calls for no payment until the end of the first month of the fourth year, with equal monthly payments thereafter..
What incentives does a capitates physician have to keep his patients happy? What incentive does an FFS physician have?
Determine what happens to the money supply, interest rates, and economy in general if Federal Reserve is a net seller of government bonds?
Assume a certain firm in a competitive market is producing Q = 1,000 units of output. At Q = 1,000, the firm's marginal cost equals $15 and its average total cost equals $11. The firm sells its output for $12 per unit.
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