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The supply of eggs comes from chickens. The price of eggs will decrease if"
1. the supply of chickens decrease
2. the demand for eggs decreases
3. the supply of eggs decreases
4. the price of chickens increase
Show why this equilibrium point is unique, i.e. if we are not at point E, illustrate what would happen in this economy.
Considers a consumer who suddenly changes her preferences with regard to air travel,
Menu costs arise from the way inflation: Unit-of-account costs arise from the way inflation makes... Shoe-leather costs arise from the way inflation..
Which of the following is an interest rate target specified in the FOMC directive?
What is the present value of $3000 per year for 8 years discounted back to the present at 10 percent. What is the present value of perpetual stream of cash flows that pays $50,000 at the end of year one and then grows at a rate of 4% per year indefin..
Is an increase in the marginal income tax rate reflected by a shift in the after-tax supply of labor or a movement along the supply curve when the pretax wage rate is on the vertical axis? Explain your answer
Illustrate what effect would this have on her dress price in the short run, assuming she is following the rules of profit maximizes.
Suppose that there are 150 houses in the community with 2,000 square feet (providing services that rent for $10,000 per year). The interest rate is 4% and with proper maintenance all of the houses will last forever. What property tax rate will be nec..
John wants to travel from Pittsburgh to Philadelphia. It takes him 5 hours to drive by car or 1 hour to fly by plane. If the total car rental (fuel and other costs are included) cost is $120 and flight ticket from Pittsburgh to Philadelphia is $200, ..
Suppose a firm has an annual budget of $200,000 in wages and salaries, $75,000 in materials, $30,000 in new equipment, $20,000 in rented property.What are the annual explicit costs for the firm described above.
Calculate the equilibrium buyers' also sellers' price with no sales tax also then with the 20% tax Supposed above.
Under what conditions will a firm close in the short run? Explain the reasoning behind the shutdown rules. If a firm has short-run losses, when would it stay open?
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