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Would it ever be rational for a firm to retain an employee whose current marginal revenue product is less than her current wage? Explain.
In a few sentences, describe some of the issues that you found interesting. Discuss how you learned to deal with these issues in your labs
Real-World Monopolies Describe an example of a real-world industry or market that would be considered by economists to be a natural monopoly.
Why do the soft technologies open more opportunities for women? To what extent have these technologies impacted the perceptions of men’s and women’s roles in the economy, within marriage, and in society as a whole?
Explain how buyers’ willingness to pay, consumer surplus, and the demand curve are related. Explain how sellers' costs, producer surplus, and the supply curve are related.
The production function Q = 0.25X0.5 Y0.5 exhibits: a. constant returns to scale. b. increasing returns to scale. c. increasing and then diminishing returns to scale. d. diminishing returns to scale. 11. When PX = $60, MPX = 2 and MPY = 2, relative e..
In which of the following situations is the Coase theorem likely to apply? Explain. The neighbor who lives below you in the apartment building loves to play old John Denver records at loud volume early in the morning. In fact, his favorite song seems..
You purchase an item today. You pay $600 down, $400 at the end of the first year, $300 at the end of the third year, and $200 at the end of the fifth year. Assuming 18% per year compounded annually, what is the present worth?
Suppose Dell computer Company operates in a perfectly competitive market producing 5,000 computers per day. What is total cost to decrease and profits to increase.
Suppose an airline is losing money because they cannot fill enough seats in their flights with passengers. The airline would offer a flight only if at least 70% of the seats could be filled. The average total cost for the typical flight is $12,600. W..
Which of the following is an example of offshoring? Thomas L. Friedman, a columnist for the New York Times, advanced a theory that he called the "Golden Arches theory of conflict resolution." What does that theory state?
How Disney dealt with the Principal - Agent Problem: In 1984, the Walt Disney Company brought in Michael Eisner, a Paramount executive as CEO. The firm's board of directors agreed to pay Eisner a salary of $750,000, plus a $750,000 bonus for signing ..
What is the intrinsic value in the option? Assume the call is priced at $7.
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