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Microeconomic
How would a low-cost price leader enforce its leadership through implied threats to a rival? How does a firm become a "low cost" price leader? Discuss the specific type of market structure that implied threat strategy can be adapted.
Presume that during the past three years, equilibrium real GDP in a country rose steadily, from $450 billion to $500 billion, however even though the position of its aggregate demand curve remained unchanged, its equilibrium price level steadily decl..
the fully allocated cost of a product is 10. if the price elasticity of demand for the product is -2 then the firms
Analyze the major barriers for entry and exit into the airline industry. Explain how each barrier can foster either monopoly or oligopoly. What barriers, if any, do you feel give rise to monopoly that will allow the government to become involved t..
If the dealers colluded to limit inventories, what would be the maximum monopoly profit they could earn collectively? Would individual dealers have an incentive to cheat on their inventories? Explain.
a selfless person approaches jones and smith with a 100 bill and offers to sell it to the highest bidder but the
Explain how the following events affect output, capital and consumption per unit of labor in the long run and along the transition according to Solow's Model:
Discuss the key criteria for success and the advantages of a central bank adopting the framework of inflation targeting. Consider the features of a desirable monetary policy instrument. Is the size of the Federal Reserve staff good policy instrument?..
Assume two countries, Nation 1 and 2, both producing two products X and Y. Both countries are endowed with the same amount of labour resource but the labour resource is not identical. Both countries also adopted the same technology and hence ha..
Assume that the treasury is currently running large surpluses (tax collections exceed new government spending). On a S/D diagram show the effect on Treasury Bond markets of using these surpluses to buy back outstanding treasury securities.
If the vaccines are semi-successful such that treatment costs and medical bills are reduced by an average of $15,000 per person per year, what is the present worth of the vaccines if there are 10 million beneficiaries in year 1 and an additional 1..
Calculate the sectoral gross outputs if the new vector of final demand, as row vector, for year 1948 is given asFDt = f42100 68500 1567001
Describe the economic meaning of a taste for discrimination and describe the different forms of labor market discrimination.
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