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Q1. What are the terms of trade if the united states trades 1 can of soda for 5 units of clothing?
Explain why price regulation of a monopoly in a contestable market will not correct a market inefficiency.
Q2. Assume the generic production function Q=f(K,L) displays both decreasing returns to capital (K) and decreasing returns to labour (L), then:
Answer this production function will certainly display decreasing returns to scale.
This production function will certainly display constant returns to scale.
This production function will certainly display increasing returns to scale.
This production function may display increasing returns to scale.
Show how the transaction would have been recorded in the German balance of payments accounts. What was the net effect on the German balance of payments.
Why the short-run demand for gasoline is less elastic than the long-run demand, when the price of gasoline rises, people immediately cut back on unnecessary trips.
Assuming labour demand is downward sloping and that the labour market is competitive, what happens to national income as a result in immigration.
A firm that finds it extremely expensive to monitor the output of each worker will likely pay its workers
Which of the government policies below is not likely to encourage per capita economic growth.
A county is considering using a piece of park land for one of two alternative recreation projects.
Hiro Nakamura is CEO of the Cola King Bottling Company, a small regional producer operating in the Pacific Northwest. Nakamura is considering two alternative expansion proposals
Find the equilibrium values of the real interest rate, consumption, investment, and the price level.
If MMM's capital structure consists of 25% debt and 75% equity, stated in total funds, what is the WACC break point that is associated with retained earnings
Some economists argue that only unanticipated increases in the money supply can affect real GDP.
Challenge of any merger that raises the HHI by 100+ points in a market where the HHI is above 1800 before the merger.
The United States is experiencing a recession and Congress decides to adopt an expansionary fiscal policy to stimulate the economy.
Use supply and demand model to explain the dramatic rise in the price of a college education.
Draw the production possibility curve and a. Define consumer surplus and producer surplus.
Austria has a history of strong hostility to nuclear power, and over the last twenty years the Austrians have shut down all of the reactors in Austria
What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution
Jane wants to buy a beautiful doll as a gift for her sister's birthday. What is the advantage to society to correct the externality?
Idea that a country can simultaneously pursue only two of the three following policies: free international-capital flows, monetary policy for domestic stabilization, and a fixed exchange rate.
Using a wholesale price of $4 per case in each state, calculate the breakeven output quantities for each alternative.
Ordinary least- squares method or the two- satge least squares method for estimating industry demand for rutabagas.
Changes in disposable income affect government purchases and the government purchase function. How do changes in net taxes affect the consumption function.
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