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Country A has 2000 units of labor and can produce two goods, manufactures and food. A's producers take 2 units of labor to produce one unit of manufactures and 5 units to produce one food unit. Country B has 2500 units of labor and takes 5 units of labor to produce one unit of manufactures and 10 units to produce one unit of food. At what price of food in terms of manufactures would A and B respectively supply food? Would trade take place in between A and B in David Ricardo's world? How many manufactures could A supply?
In a market economy, investors have a strong incentive to undertake profitable investments. What makes an investment profitable? Do profitable investments create wealth? Why or why not? Do all investments create wealth? Discuss.
Currently, the social security payroll tax in the United States is evenly divided between employers and employees. Employers must pay the government a tax of 6.2 percent of the wages they pay, and employees must pay 6.2 percent of the wages they rece..
If the government knew the cost of reduction for each firm, what reductions would it impose to reach its overall goal What would be the cost to each firm and the total cost to the firms together
The price charged to consumers, the average total cost of production and the efficiency of the market outcome
Identify what problem this economy is facing and describe two specific policies the Federal Government might follow assuming the MPC in this economy is 0.67. Provide specific numbers when describing the outcomes of the two different policies and e..
Because of the change they created for taste and preferences and the higher income market, the gourmet coffee houses had a win-win in a period of falling wholesale prices and increasing retail prices
Show that maximizing prot implies cost minimization.
the ceo of bank of america brian moynihan recently stated that us taxpayer money should not be used to bail out major
Suppose you collected data on the average number of text messages sent per month by 300 randomly selected teenagers over 2009 and 2010 and found the sample meanwa
suppose there are 9 sellers and 9 buyers in a market each willing to buy or sell one unit of a good. their values are
what is an externality? provide at least three examples. how does one of the examples you provided affect the market
please define the price elasticity of demand and give a real life example of a good with an elastic demand as well as a
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