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What is the differencebetween the output level where the total profit is maximized and the outputlevel where the total revenue (TR) is maximized? What is the significance ofthese two values in the decision-making process
Dan and Neil are playing Settlers of Catan. Dan has rolled a seven and just put the stopper on a Field which touches one of Neil’s Settlements. Since Dan is a real jerk store, he decides to steal one of Neil’s two cards. Neil has a Grain and a Wool r..
Calculate the over all MC for the 1st 10 units of output also Specify where each successive unit will be produced.
Electrocomp incurred an oversupply of fans in the preceding period, management also insists that no more than 80 fans be produced during this production period. Resolve this product mix problem to find the new optimal solution.
Use your own life experience to explain the difference between the marginal and the average propensity to consume. In what circumstances could more saving be bad for the economy as a whole (search the Internet for the “paradox of thrift”)?
The most anyone is willing to pay for another purse is $30. Currently the price of a purse is $40, and the cost of producing another purse is $50. The marginal benefit of a purse is
which nation should the company locate its new plant so as to minimize costs per unit of output.
Nawaphon spends all his budget on smartphones and tablets. His utility function is U= S+T, where S stands for Smartphones and T for Tablets. The price of a smartphone is $40 and the price of a tablet is $60. Nawaphon’s budget is $120. What is Nawapho..
Suppose you have $120 to spend on food and clothing. The price of food is $4 and the price of clothing is $8. a, Graph your budget constraint; calculate the slope of it. b, Briefly explain why your optimal choice is the point at which your budget con..
In March 2008, the Fed helped prevent the bankruptcy of Bear Sterns. However, in September 2008, the Fed and the Treasury let Lehman Brothers go bankrupt. What accounts for the different decisions?
Suppose that two UK government bonds have same face values with £100. One has an outstanding maturity of 2.5 years. Its coupon rate is 9.75% and coupons are paid semi-annually.
Given the global financial crisis of 2007–2009, do you anticipate any changes to the systems of fixed exchange rates and forward contracts in the near future? Are the changes you envision strictly procedural or regulatory, or do you believe that some..
Choose one company from the market structure of monopolistic competition and one company from the oligopoly market structure and state which characteristics make this company fit these market structures.
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