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Suppose that there are two markets, given by the following demand curves, q1(p1) and q2(p2); and a monopolist with cost function c(q1; q2).
(a) Set up the monopolist's profit maximizing problem if it charges a uniform price in both markets.
Which type of research design is appropriate
Despite this finding, the government mandates that new cars have air bags, rather than taxing their use. Is this policy a contradiction.
Why do points on a utility possibility curve represent efficient allocations of resources? Why must the utility possibility curve be downward sloping.
Explain why Paul Collier seems to argue that export oriented industrialization or trade liberalization policies enacted by African countries would not help Africa develop.
Using 4 different figures, plot the time paths showing the effects of a permanent increase in the United States money supply on: (a) U.S. Money supply (b) The dollar interest rate (c) The U.S. price level (d) The dollar/euro exchange rate
Consider the following firm with the production function Q=F(L)=2L^1/2. L=labor. Wage w=12. Fixed costs are FC=500(sunk cost). Derive the short run cost function. Graph this function using excel.
If prices of x and y are doubled while the income remains the same, the budget constraint:
Wolfe and Baker are the only two firms producing door stopers because of such a small market in their area. Both firms are profit maximizing, have a marginal cot of $8 (MC = $8) and have no fixed costs (FC = $0). When both firms set quantity, Wolfe's..
Plot the forecasts against the realizations. Are the forecasts good?
High spending and low savings in the U.S. helps cause our balance of payments issues. President Carter took us off the gold exchange standard. Most economists support a return to fixed exchange rates, such as the gold standard. If the U.S. government..
Explain the following sources of ethics with the help of an example:
In terms of aggregate supply, a period in which nominal wages and other resource prices are unresponsive to price-level changes is called the A. long run. B. short run. C. very long run. D. immediate market period.
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