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Q1. "Total fixed cost or sunk cost is independent of quantity produced."
Assume a small firm has invested $10 million in total fixed cost also another $18 million in total variable cost. As the firm has started marketing its new product at a cost of $25.00 per unit; however, average variable cost of the product is $30.00. Should this firm shut down? Why or why not?
Q2. 1. Clarify why might the Homo sapiens production possibilities curve have shifted outward to right much more rapidly than persons of Neanderthals?
2. Why might failure to specialize Clarify why Neanderthal groups in difference areas did not trade? Remember that comparative advantage is the key basis for trade.
What other economic factors are affected when taxes are raised or lowered, and how are they affected. Should the government increase tax rates on everyone as a way to equalize incomes and wealth.
Suppose that investment decline by 40 units to a level of 60. What will be the new level of equilibrium income.
Provide an appropriately labeled boxplot of the data below and use a randomization test to examine whether the null hypothesis holds that male and female turtles have the same mean serum cholesterol.
Here are only some stars to fully staff every team, but there are enough for a few to be on each team if an owner decided to hire them.
A local community voting to raise property taxes to increase school expenditures
Consider a product market for a normal good. Suppose consumers' income increases. Explain what will happen to labor demand for firms in that market.
The equilibrium quantity increase or decrease depends on Demand
Advantages and disadvantages of cigarette money in this prison economy in terms of these 6 criteria.
Assuming that your opportunity cost funds interest rate is 5% which refrigerator would you buy and why.
You complain that the current labor contract specifies a full hour for your lunch break and you still have over 15 minutes left.
Calculate the constant debt-GDP ratio that the country can achieve if the country runs a primary budget deficit of 3%. Is this debt-GDP ratio stable.
Consider a small economy in which consumers buy only two goods pies and tarts. In order to compute the consumer price index for this economy for two or more consecutive years.
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