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You own a tract of trees and are deciding whether to harvest them now or next year. If you harvest them now, you can invest the proceeds and get a return of 5% on your investment. What should you do?? a. ?Let the trees grow as long as their dollar worth increases by less than 5% b. ?Cut down the trees, and sell them c. ?Let the trees grow d. ?Let the trees grow as long as their dollar worth increases by more than 5%
Giving reasons state whether the following statements are true or false: Elasticity of supply is equal to one only if supply curve forms an angle of 45 degrees at the origin. With increase in level of output, average fixed cost goes on falling till i..
Who benefits from a tariff or quota. Who loses. Illustrate what are positives and negatives of protectionist trade policies on federal government's part. Which policy is best right now.
Which of the following is not an assumption of the theory of consumer behavior described in this chapter? In deciding what to buy, the consumer will choose the good with the:
Initial economies of scale means that select one firms are experiencing lower average production costs due to a geographical concentration of firms in their industry that make it cheaper and easier to hire highly specialized worker and inputs firms w..
What is the annual worth of a machine that has a first cost of $10,000, a useful life of 10 years, an annual operating cost of $5,000 per year, and a salvage value of $2,000 at an interest rate of 10% per year?
What caused many nations to abandon the gold standard by the end of WWI? What were the consequences of that action?
Illustrate what did society gain from having brand name chicken. Illustrate what did society lose.
Which of the following statements is generally True about information products?
Suppose that Bill cares only about chai and bagels. Her utility function is U=CB, where C is the number of cups of chai she drinks in a day, and B is the number of bagels she eats in a day. Draw Bills in difference MAP. Set up Bills optimization prob..
An electricity industry contains two generating firms, one of which has marginal cost= $2.50 and the other of $1.50; the demand curve is Quantity=40-4*price. Quantities are in MWH and price are in $/Mwh. Very low production cost! Find cournot Equilib..
The capitalized cost of of an initial investment of $200,000 and annual investments of $30,000 forever at an interest rate of 10 % is closest to....Please show work
According to the alternative approach (heterodox) towards economic production the only real scarce factor is time. Money, being a credit/debit relationship, cannot, by definition, be scarce. Nor are capital or resources scarce but reproducible.1 This..
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