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Originally the consumer faces the budget line p1x1 + p2x2 = m. Then the price of good 1 triples and the price of good 2 becomes 5 times larger.
Write down an equation for the new budget line in terms of the original prices. Does the budget line become flatter or steeper?
Suppose that the oil refining industry releases one unit of waste into the atmosphere for each unit of refined product. Find the equilibrium price and quantity. Suppose the government imposes a corrective tax of T per unit of unit of emission. How la..
After two quaters of increasing levels of production, the CEO of Canadian Fabrication and Design was upset to learn that, during this time of expansion, productivity of the newly hired sheet metal workers declined with each new worker hired. Explain ..
What is there relationship between consumption, savings and disposable income!! Discuss any three non income factors that determine consumption and saving!!
Illustrate what is the natural rate of unemployment for this economy. Assume the economy has been in equilibrium for a while also the inflation rate is 15%.
Describe the process in the money market (demand and supply of/for money) by which the interest rate reaches its equilibrium value if it starts above equilibrium. (Principles of Macroeconomics)
Explain why the following statement is either true or false. An increase in the wage rate of labor (with no change in the rental rate of capital) shifts the long-run cost curve upward (at each level of output), no matter what the elasticity of substi..
Find the output levels where total product and average product are maximized. What is marginal product when total product is zero?
Elucidate how does that fact that many goods are non traded affect the extent of possible gains from trade.
How many times would Mexico's 2005 real GDP per person have to double to reach the United States' 2005 real GDP per person.
Using a three-circle Venn Diagram, check the following categorical arguments for validity. Some advertisers try to create a new ideal state for consumers. Some advertisers try to create dissatisfaction with the consumer’s current state. So, some who ..
q. suppose there are two consumers a and b. the utility functions of each consumer are given byuaxy xyubx y 2x ythe
Graphically depict using the Average Total Cost curve (among others) why efforts to break up a monopoly into many small firms will not be successful. Explain your intuition as well.
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