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Suppose that unemployment increase because the government requires employment to provide more funds for their employee’s retirement programs. The increase in unemployment is most likely a result of an increase in what type of unemployment? Explain
Explain the meaning of a Nash equilibrium when rms are competing with respect to price. Why is the equilibrium stable? Why dont the rms raise prices to the level that maximizes joint prots? What is the DWL in this model?
They could each decide to work a few extra hours on Saturday and earn more income. But they choose to play tennis or to relax around the house.
Joe won $365,000 a year for life in the state lottery. Use the labor-leisure choice analysis to answer the following. show how Joe's lottery winnings affect the position of his budget line. Joe's utility function for goods per day (Y) and hours of le..
Suppose that Taher's pizza business operates under competitive conditions and that his short-run production function is q=20^E. Once again assume w = $6 but suppose the government imposes a tax of 25% on each dollar he pays his workers, to cover thei..
Recognize and evaluate the market structure, degree of competition and the availability of substitutes initially and in the future, locally and globally for the proposed product.
Chase is injured in an accident while driving an off-road vehicle made by Drivers Edge, Inc., an out-of-state corporation. Chase files a suit against Drivers Edge, alleging negligence, and mails a summons and a copy of the complaint to the firm by ce..
Given that parking and attendance at ballgames are complements (in consumption). Explain why a rise in parking fees may adversely affect game attendance.
Farmer Purple wishes to choose the most cost-effective way of harvesting his quinoa crop. Purple has three choices of combinations of differing amounts of machinery and labor. The table to the right shows the three production technologies.
There is a dollar on the table, which each player can try to grab. If only one player grabs, G, and the other does not, D, the player who grabs gets the dollar and his payoff is 1, Which strategy profiles are Pareto Optimal?
Suppose that consumers decide to consume less (and therefore to save more) for any given amount of disposable income. Specifically, assume that consumer confidence (c0) falls. What will happen to output.
The Ascot Corporation, which produces stationery, hires a consultant to estimate its production function. The consultant concludes that Q = 0.9P + 0.06L where Q is the number of pounds of stationery produced by Ascot per year, L is the number of hour..
q.sensitivity analysis using excellane construction ltd. is considering the acquisition of a new eighteen wheeler.-the
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