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Mallory consumes a bundle of candy and cookies, spending all of her income. The price of candy is $1 and the price of a cookie is $0.50. At her current bundle, the marginal utility of the next bar of candy she could purchase is 12 utils and the marginal utility of the next cookie she could purchase is 6 utils. Should Mallory consume more cookies, more candy, or leave her consumption unchanged?
Explain fully how a tax or subsidy affects the market. Explain how higher taxes do not necessarily raise more revenue as demonstrated by the Laffer curve.
Summarize the controversy over the value of the Chinese yuan in foreign currency markets. Is China still using central bank foreign exchange policy to maintain the value of the yuan? What is the current policy of the United States on this issue?
Crepe Creations is considering franchising its unique brand of crepes to stall-holders on Hermoza Beach, which is five miles long. How many franchises should CC award given that it determines the prices the stall holders can charge and that it will h..
In recent decades, trade has been growing faster than income for many countries. What combination of trade effects is sufficient for this to come about? Is this behavior consistent with the Rybczynski theorem? Under what circumstances?
illustrate what is james opportunity cost of producing chickens which person has an absolute advantage in which activities which person has a comparative.
The figure above shows a nation's production possibilities frontier for apples and oranges. What combination of goods is represented by point B? Which point represents an unattainable combination of goods?
How much control might an organization have over pricing based on a product's elasticity. Discuss which of elasticity rules you used to determine your answer.
Richard Pawlus was an owner of Dutch City Wood Products, Inc., which did business as “Dutch City Marketing”. Pawlus purchased merchandise from Rothschild Sun systems from April 24 to June 24 using the designation “Richard Pawlus Dutch City Marketing”..
Suppose a firm’s production function is: f(E,K) = 40K0.25E0.75 The corresponding marginal product functions are: MPK = 10K-0.75E0.75 and MPE = 30K0.25E-0.25 Suppose initially that the hourly wage is $9 and the price of each unit of capital is $15. If..
Calculate and graph the ration of: (i) real residential investment to real GDP; (ii) real non-residential investment to real GDP; and (iii) real inventory investment to real GDP. Which of the components of investment shows the most (least) variabilit..
Your department is budgeting miscellaneous expenses for the next 5 years. Your best guess at the annual inflation rate is 3.9%, and the combined MARR is 15%. Expenses currently run $14,500 per year. Assume that expenses are end-of-year payments.
q.as weve been discussing and identifying the issues that our local and global communities currently face how do you
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