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The positively-sloped part of the long-run average total cost curve is due to which of the following?
Diseconomies of scale.
Diminishing returns.
The firm being able to take advantage of large-scale production techniques as it expands its output.
The increase in productivity that results from specialization.
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 ..
What is Say’s Law? How may it fail to hold in a monetary economy? B. Explain how deficit spending may increase national output in a setting of flagging private investment. How does the propensity of consumers to spend their income shape this effect? ..
Discuss and demonstrate the economic impact of the following Federal Reserve Board actions (use lecture example balance sheet as template):
You are the manager of a large crude-oil refinery. As part of the refining process, a certain heat exchanger must be replaced every year. The replacement and downtime cost in the first year is $180,000. how much could you afford to spend for a higher..
A goal of expansionary monetary policy is to: Lower interest rates are generally charged on more risky investments and on securities that have longer maturities. The barter system requires the double coincidence of wants to be fulfilled.
(Arbitrage) A supplier is selling hammers in two cities, Pleasantville and Happy Valley. It costs him $5.00 per hammer delivered in each city. Let p1 be the price of hammers in Pleasantville and p2 be the price of hammers in Happy Valley. Assuming th..
Elucidate the capital budgeting process. Comment on the key elements used to gauge capital projects. Evaluate capital investment decisions by using time-value-of-money yardsticks
Explain how to measure the price elasticity of demand and supply and the cross elasticity income elasticity of demand? Explain how you would calculate the price elasticity of demand for gasoline.
Instrumental variables:
Which of the subsequent represents a positive macroeconomic statement. Assume the United States can produce Toyotas at the cost.
Smith likes cashews better than almonds and likes almond better than walnuts. He likes pecans equally as macadamia nuts and prefers macadamia nuts to almonds. Assuming his preferences are transitive, which does he prefer:
Show that an increase in government spending that is productive in this fashion could increase welfare for the representative consumer.
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