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Q. You are the manager of a manufacturer that sells protective cases for the Samsung Galaxy. Samsung produces half of its phones at a plant near Hong Kong and the other half at a plant located near Shanghai Both plants are running at full capacity. You have just learned that rioting workers have severely damaged the Samsung plant near Shanghai and it will take at least a year before the company can construct a new plant to produce additional Galaxies. Explain how this news will this affect the amount of inputs you order for your own manufacturing activities? Explain how it will affect the number of employees you schedule? All other things being equal, what will happen to prices of the Galaxy and the iPhone? Why?
What is the cost function associated with producing y units of output? Assume now that input prices are (w1,w2). What is the cost function associated with producing y units of output?
Explain how does one construct a linear (or other mathematical program) to solve a competitive or walrasian equilibrium problem.
A car manufacturer claims that its vehicles average at least 25 miles per gallon.
Describe the budget constraint which she faces when deciding how many drinks to buy.
Describe the magnitude of crowding-out that results from the above fiscal expansion .Show the transition dynamics that results.
assume that the price of feeders drops by 50%. How would this change impact the demand for feeders? Explain your answer and reconstruct the graph developed in question one to show this change. Assume that incomes of the consumers in thi..
Average cost of producing 70 pies in batches of ten is $5.00 per pie and the average cost of producing 80 pies in batches of ten is $4.50 per pie. Elucidate the marginal cost of the 8th batch of pies.
Assume the Bank of Japan allowed the money supply to grow by 2% each year while the Bank of Korea chose to maintain relatively high money growth of 12% per year.
expected profit from machine decreases. Rental cost/user cost of capital will decrease when: real interest rate falls. This fully anticipated monetary expansion will cause which of following to occur.
Illustrate what would neoclassical economists and new dissidents have to say about former Bush Administration's efforts to push forth a Free Trade of Americas with our South American, Central American and North American neighbours.
Each customer purchases their smoothie at the store where the total cost, i.e. price of smoothie plus travel cost, is the lowest.
The craft unions electricians, carpenters, other possess considerable power to raise wages than do industrial unions automotive workers, steel workers.
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