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What assumptions are necessary for a market to be perfectly competitive? In long-run equilibrium, all firms in the industry earn zero economic profit. Why is this true? Why do firms enter an industry when they know that in the long run economic profit will be zero?
Explain your policy combination in details (This is an open ended question) - Which of the policies is/are a monetary? - Which of the policies is/are fiscal? - What are the differences between monetary policies and fiscal policies?
Explain why would the increase in GDP be greater than the increase of a $100 increase in government spending.
Assume that health insurance begins to cover hip replacement surgeries that everyone interested in getting a hip replacement has health insurance.
Elucidate how can you derive an equation describing labor demand in this economy as a function of the real wage also capital stock.
Describe the free trade equilibrium. Then compute and graph the following effects of an import quota that limits imports to 100 bags.
q1. referring to the output and substitution effects explain why an increase in the wage rate for autoworkers will
Compute the upper and lower limits within which marginal cost may vary without affecting the profit maximizing output or the price.
q1. between the first quarter of 2005 and the fourth quarter of 2006 the cpi increased by 7 percent while the gdp
Winston Churchill once thought that democracy is the nastiest form of government except for all others.
Illustrate what does a point outside construction possibilities frontier indicates.
Should the airline replace its night flight from LA with a morning flight as well as should the airline remain in business.
q.a firm sells its production in a perfectly competitive market at a fixed cost of 10 per unit. it buys 2 inputs l as
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