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Prices of smartphones (assume that this is a normal good) have fallen in recent years. Over this same period, the price of the components used to produce smartphones has also fallen and consumer incomes have risen. Which of the following best explains the falling prices of smartphones?
AOL, LCC, mistakenly made public and personal information of 650,000 of its members. The members filed a suit, alleging violations of California law. California courts have declared in other cases that the AOL clause contravenes a strong public poli..
The Disney Company regularly offers coupons good for discounted admissions into its amusement parks. However, they never offer any discounts on merchandise inside the parks (food; souvenirs; etc.). How can you explain this difference using the concep..
A physical therapy clinic faces a demand equation of Q = 200 - 1.5 * P, where Q is sessions per month and P is the price per session. The clinic currently charges $80. If the clinic lowered its price to $70, what would happen to volume and revenue?
If the current account is in surplus and the capital account is zero, then
Create a table that lists at least four sources of growth in the economy along with two examples of each source. A brief caption should accompany your table, explaining what it contains and why these sources are important.
jean invests 1000 into her employers retirement plan on 31st birthday also she continues to make annual 1000 payments
A firm can determine how many resource units to acquire by comparing Marginal Revenue Product and Marginal Factor Cost, then continuing to acquire another unit so long as its MRP exceeds, or at least is no worse than, its MFC.
Assume that a hypothetical economy with an MPC of 0.8 is experiencing boom with the gap of 25 billion between potential real GDP and actual real GDP. How much would the government spending have to cut to decrease real GDP to the potential real GDP le..
The initial cost of a pickup truck is $12,859 and will have a salvage value of $4,027 after five years. Maintenance is estimated to be a uniform gradient amount of $181 per year, with zero dollar for first year maintenance. The operation cost is esti..
In a price taker markets, imposition of price ceiling (of $1) below the equilibrium price (of $2) will cause producers to expand output. This will thereby increase the gains from the trade and the efficiency of the market.
A monopolist faces a market demand curve given by: Q = 70 – P. This monopolist perfectly price discriminate among its customers. If the monopolist can produce at constant average and marginal costs of AC = MC = 6, what are the monopolist’s profits ar..
Considering the following theories below, provide a potential explanation for what happened in the lysine market.
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