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Suppose a union that represents some but not all of the employees in an industry is considering a strong push for increased pay for their members during the upcoming contract negotiations. However, they are concerned about the possibility that the companies in the industry will respond by making the production process more capital-intensive and, thus, hiring fewer union members. What factors should the union investigate in order to address this issue? Give a careful economic explanation.
A US automobile factory uses $100,000 worth of parts purchased from foreign countries along with U.S. inputs to produce 30 cars worth $20,000 each. Twenty of these cars are sold and 10 are left in inventory. How much did these actions add to GDP?
A petroleum refining and recovery service company, Cowboy Enterprises, purchased $13,790 worth of equipment for reconditioning fuels in its storage tanks. The equipment has a functional life of 14 years and a salvage value of 5% of the purchased pric..
Using a graph explain the welfare impact of tariff on domestic consumers, producers, government, and national welfare in a) a small country b) a large country.
There are three types of plant: coal, natural gas, and hydroelectric. The three types of plants face the costs appearing in the table above.
Refer to the payoff matrix below. Based on the information on the payoff matrix, what is the dominant strategy?
The government begins providing health care subsidies for all Americans.b. Private investors become less optimistic about the economy.c. All overseas conflicts are ended and American troops return home.
Illustrate what steps do you suggest that it take in order to balance its budget. What would be the affect on you if it takes steps to balance its budget, or Illustrate what would be the affect on you if it does not.
A firm faces the demand curve Q = 20 – 0.8P and marginal cost MC = 2.5Q. If the firm cannot price-discriminate, what is the profit-maximizing price and quantity? If the firm can practice perfect price discrimination, how many units will it sell?
What is the principle-agent problem and how can it be avoided? What is the difference between explicit and implicit costs? What is the law of diminishing returns? What determines the U-shaped curve of short run production costs?
Define gross domestic product, explain the difference between real and nominal GDP, and explain how you would determine them. Show the difference with an AD/AS curve diagram.
Joe won $365,000 a year for life in the state lottery. Use the labor-leisure choice analysis to answer the following. show how Joe's lottery winnings affect the position of his budget line. Joe's utility function for goods per day (Y) and hours of le..
Explain the resource-based view and its relation to strategic management. Identify at least three ways that this view differs from the I/O view.
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