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Q1. Suppose that you can schedule a worker up to four hours per day. The benefit function is given by B(H) = 500H - 22.5H2 and the cost function is given by C(H) = 100 +15H2. The corresponding marginal benefit and marginal cost functions are given by MB(H) = 500 - 45H and MC(H) = 100 + 30H. What is the best choice of hours for this worker?
Q2. Is the price mechanism of a perfectly competitive market a good mechanism to allocate gasoline?
Assume that we care about the average welfare of individuals in Indian villages, i.e., we put equal weight on each individual's utility.
Use the 2007 numbers in the first column to compute, for each of the four countries, the percentage gap between the steady-state ratio.
Carefully explain the concept of the reaction function in duopoly analysis.
To one side maximizing profits evaluate the factors which managers must consider when making judgment to outsource or integrate forwards/backwards considering which factor would be mainly significant for decision-making.
In which directions are they pushing or pulling the U.S. economy. Also, do you think the gap between real GDP and potential GDP will widen or narrow.
Suppose that the demand for orange increases. Carefully explain how the rationing function of price will restore market equilibrium.
How is this shifting of AD curve going to affect the price level and output level of the economy.
Could trade help reduce poverty in Brazil and other developing countries. How do product and factor prices and wages eventually equalize between the two countries.
Paul owns a home on the top of a hill and enjoys an unobstructed view of a large wooded area.
What What marketing strategies should Radiance pursue in the next five years? Explain why the strategies you select would best fit the organization. in the next five years? Explain why the strategies you select would best fit the organization.
Consider a small economy in which consumers buy only two goods pies and tarts. In order to compute the consumer price index for this economy for two or more consecutive years.
Explain what occurs when a new technology makes another one obsolete in terms of economic profit.
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