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What are the economic considerations that exist when a company has to be set up?
A firm faces the demand function Qd = 60− (½)P and the cost function C = 11Q2 +5. What is the optimal quantity that a price-taking (and profit maximizing) firm should supply? What is the profit when quantity produced is optimal? Construct a graph sho..
Please provide a graphical example and explaination of what could potentially happen to the number of people employed in an economy if the government were to decide to raise the minimum wage from $7.00 to $15.00; in addition, provide an explanation o..
An entrepreneur took a one-month leave of absence. Elucidate how many units did she have to sell To facilitate turn a profit
What is the effect of a lower price level, other things constant, on the aggregate expenditure line and real GDP demanded? How does the multiplier interact with the price change to determine the new real GDP demanded?
Backward-looking expectations may reasonably describe actual behavior because
Consider an intertemporal model in which representative households choose consumption, c(subscript t+1) and two types of bonds b(subscript 1,t+1) and b(subscript 2,t+1) to maximize their utility over time, prices are perfectly flexible, and all marke..
Assume that a consumer purchases a combination of product A and product B such that the MUa/Pa=8 and MUb/Pb=6. To maximize utility without spending more money, the consumer should:
Suppose the Federal Reserve is considering the applications of four different banks to merge with other banks. Given the level of the new HHI and the change in the HHI shown below, in which case could the Fed challenge the merger?
As the number of workers at each factory increases, which factory will experience diminishing returns first.
Draw an Edgeworth box with indifference curves through this endowment. At what combinations of X and Y are both better off (i.e., are Pareto Improving)? At what combinations of X and Y are there no more gains from trade (i.e., are Pareto Efficient)?
The price of oil is determined by supply and demand. The price of oil has been steadily hovering around the 100$-$120 per barrel mark for many years. Base on your understanding of the economic theory of supply and demand; describe why the price of oi..
What is the nature of cross subsidy, its extent, and its consequences for the pricing of new long distance entrants in comparison to AT&T?
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