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The marginal propensity to consume is the amount that will be consumed out of each additional dollar earned.
Suppose that the MPC has a value of 0.95. If this is true, then a $10 million increase in disposable income (YD) will have what impact on the value of total consumption in the economy?
assuming that all other factors remain unchanged, determine how a firm's breakeven point is affected by each of the following: a. the firm finds it necessary to reduce the price per unit because of increased foreign competition.
I am a manager in a governmental agency. I have no control over compensation policy. All workers are paid the same salary.
Television channel operating profits vary from as high as 45 to 55 percent at MTV and Nickelodeon down to 12 to 18 percent at NBC and ABC. Provide a Porter Five Forces analysis of each type of network. Why is MTV so profitable relative to the majo..
Under the Physicians' cooperative model, if the supply price of physicians were to rise, how would this affect the equilibrium staff size in the open-staff case How would it affect the optimal staff size in the closed-staff case
Price can be substituted for marginal revenue in the MR = MC rule when an industry is purely competitive because price minus cost equals marginal revenue. and marginal cost are the same in pure competition. is the same as average revenue.
During late December 2008 Company A acquires a small competitor, Company B. During the evaluation of the acquisition it is determined that the customer lists of Company B have a fair value of $50,000. Company A has spent $15,000 during the year up..
Elucidate why relatively flat as opposite relatively steep labor demand curves are more consistent.
Event 1: The government passes a law allowing states to pay unlimited unemployment benefits to all unemployed workers for an unlimited amount of time. Event 2: The federal government increases the restrictions on the immigration of skilled workers
One popular voting scheme is rank order voting, where persons assign a rank (1,2,3) to the possible options; the assigned ranks are then added up and alternative with lowest sum wins.
The firm’s production manager claims that the firm’s average cost of production is minimized at an output of 40 units. Furthermore, she claims that 40 units is the firm’s profit-maximizing level of output.
Explain the decision by price takers to continue to operate, temporarily shut down, or go out of business, when faced with price below average total cost.
A new hybrid car manufacturer is trying to decide among making and buying its parts and components. it has complied the following data per vehicle produced:
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