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For this discussion question, you will apply cost principles to business problems. A sunk cost is one that has already been incurred and cannot be recovered. Economic theory supports that only prospective (or future) costs are relevant to a decision. Provide an example of a sunk cost either from your present employment or personal circumstances. Was the sunk cost completely discarded in the decision making process or was it factored into the analysis?
An irrigation return flow drain has sampling equipment that can be powered by solar cells or by running an electric line to the site and using conventional power. Solar cells will cost $14,000 to install and will have a useful life of 10 years.
Which of the following would NOT increase the supply of money in a fiat money economy?
Over the long run historically, real wages produce about same pace as labor productivity.
Each potential bidder writes down a bid on a piece of paper. buyer with highest bid gets item and has to pay third highest bid. Is there dominant strategy equilibrium for this auction. Make sure you exhaust all possibilities.
Describe the long-run effects of patent expiration on prices, output and profit in a monopolistic industry.
A study finds that leaf blowers make too much noise, so the government imposes a $10 tax on the sale of every unit to correct for the social cost of the noise pollution. The tax completely internalizes the externality. What is the private market pric..
Of the many arguments in favor of tariffs, the one that has enjoyed the most significant economic justification has been the: If the U.S. demand for Korean steel is price elastic, an export subsidy granted to Korean steel firms will increase Korea's ..
indicate for each price whether the firm will produce, shut down, or be indifferent between the two in the short run, and whether it will make a profit, suffer a loss, or break even.
q. based on market research a recording company obtains the following information about the demand and production costs
Which of the following trends favor a more labor-intensive method of production? A growing number of desperately unemployed people as the result of rural-urban migration. A limit to the level that wages can fall (subsistence)
If the government purchases also taxes are both increased by $100 billion simultaneously illustrate what will the effect be on equilibrium output.
Consider two policies: a tax cut that will last for only one year and a tax cut that is expected to be permanent. The______ policy will stimulate greater spending by consumers. The______ policy will have the greater impact on aggregate demand.
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