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If average variable costs are increasing while average total costs are decreasing, then A) marginal cost must lie between average variable and average total costs. B) marginal cost must equal average variable cost. C) marginal cost must equal average total cost. D) fixed costs must be zero.
Sandstone Corp has one manufacturing plant that operates on a single-shift/5 day workweek. The plant operates at full capacity (24000 units per week) WITHOUT overtime or extra shifts. At what volume of additional unit output does it make sense to ope..
What could the federal reserve system Fed do in 2000 in order to bring the economy back to full employment ? What did the Fed actually do? explain
q1. assume that a doctor who lives alone hires the services of a maid also pays her 15000 a year to clean his house.
Nadine Chelesvig has patented her invention. She is offering a potential manufacturer two contracts for the exclusive right to manufacture and market her product. Plan A calls for an immediate single lump sum payment to her of $210,000. Plan B calls ..
Explain how increasing returns to scale in production can be a basis for trade. If the foreign export supply is perfectly elastic, what is the optimal tariff that Home should apply to increase welfare? Explain. If the foreign export supply is less th..
If the nominal exchange rate between the dollar and the euro is $1 = €0.70, and the price of an 8.4 oz. can of Red Bull is $1.75 in the United States and €1.40 in Germany, the real exchange rate between the dollar and the euro is?
Bill Katz prefers less of good 1 to more and he prefers more of good 2 to less. Bill has strictly convex preferences (i.e. mixtures of bundles are preferred to the bundles themselves). Would the slope of the indifference curve be increasing (convex) ..
Each possible investment is perceived to have no risk of default. You plan to maintain this investment for a one-year period. The return of each investment over a one-year horizon will be about the same if interest rates do not change over the next y..
Tom consumes positive quantities of both jam and juice. the price of jam is 5 cents per unit and the price of juice is 10 cents per unit. Her marginal utility of jam is 10 and her marginal utility of juice is 55. Without changing her total expenditur..
The Marginal Product of Labor and the Marginal Product of Capital are given.
Consider an industry in which all firms have identical technology given by a production function: q = min K α , L 1 − α 1/2 , where q is the level of output, α is some constant between 0 and 1, and K and L are two inputs. Describe the long-run equil..
If you had $ 4000 now and invested it at 6% simple interest, how much would it be worth 12 years from now? How much would it be worth if you receive 5% compound interest instead of 6% simple interest?
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