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Part one: Assume that initially a perfectly competitve industry is in long-run equilibrium.
a. For the typical
(ii) The industry's price and level of output.
Part two: In a particular product market there is only one seller and there are significant barriers to entry.
a. Explain how this firm determines its equilibrium output and price.
b. Explain whether or not this firm is producing the economically efficient level of output. In your answer include a brief definition of economic effciency.
Part three: What determines the demand for a resource (factor of production)? Why is the demand for a resource downsloping?
Some seed cleaning equipment was purchased at the end of 2008 for $8,571 and is depreciated by the double declining balance (DDB) method (not MACRS) for an expected life of 8 years. What is the book value of the equipment at the end of year 2,011? Or..
Illustrate what is the average inflation rate. Elucidate how would that affect the inflation rate.
Define institutions in the context of business strategy, and explain the role of institutions when considering entering a foreign market.
Define the term optimal pollution level. List two market based economic efficient policies for achieving optimal pollution levels. Using a graph of marginal cost of pollution control and marginal benefit of reducing pollution (Marginal cost of damage..
Why might some firms voluntarily pay workers a wage above the market equilibrium? Which of the following government policies would lead to an increase in productivity?
The ADEA allows BFOQ to be used as a defense as long as substantially all of the individuals over the age at issue are unable to perform the duties of the job? Federal and private sector employees enjoy the same protections under ADEA? An employer ca..
q1. brian also kim own a business employing 8 workers to produce commemorative t-shirts for campus organizations also
the congressional research service estimates that at least $45 million of counterfeit u.s. $100 notes produced by the north Korean government are in circulation. Explain why do U.S. taxpayers lose because of north Korea's counterfeiting.
Provide optimal wage-bonus package, compute this employees' effort, expected payoff and employer's profit. Draw a game tree for employer-employee game in parts a-c.
Use the money market and FX diagrams to answer the following questions about the relation- ship between the euro and US dollar. We would consider how a change in the U.S. money supply affects interest rates and exchange rates. Suppose that US tempora..
Wooldridge Problem 4.6 In section 4.5, we used as an example testing the rationality of assessments of housing prices. There, we used a log-log model in price and assess [see equation (4.47)]. Here, we use a level-level formulation. i. In the simple ..
Variable-Margin Pricing If Ohio Desk Inc. sold mahogany desks at a 3% profit, steel managers desks at a 11% profit, and student desks at a 16% profit, (all at variable-margins), what would their overall profit be for the entire product line of desks?
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