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Suppose the gain to an innovating firm is $200,000 a year and the patent the firm obtains has a life of 20 years. The interest rate is 10%. What is the present value of innovation to the innovating firm? In a patent race, what might each firm be willing to spend on research and development?
assuming that the marginal utility of the first four pieces of candy was 30, 28, 24, and 18 respectively, how much total utily was derived from eating three pieces of candy?
In the model for airline seat pricing, we studied the case of non-refundable tickets. What if the airline offers refundable business class tickets. You can buy a business class ticket and return it for a full refund if you do not fly.
The minimum price at which a few of the producers are willing to sell a pound of cheese is $0.06, and the price floor is set at $0.17 per pound. With the price floor at $0.17 per pound of cheese, producers sell 212.5 billion pounds of cheese (some to..
question 1 the economic surplus of a particular action is answer the value of the action the cost of the action
In 2014 in a country with a labor force of 100 million, 6 million people were unemployed. In 2014 the number of unemployed people increased to 7.750 million. Assuming that the labor force did not increase in 2014, use the Okun’s law and formula predi..
Currently what indictors are evident that There is too much or too little money within the economy? How is monetary policy aiming to adjust This?
Explain how much change in the number of units sold can the company afford and still be no worse off.
The president of a small industry has been complaining to the controller about raising labor also material costs.
The discount rate for the stock is 15% and the rate of return on reinvested earnings is also 15%
The Sherman Anti-Trust Act. If competition decreases in a certain industry. Under perfect competition. The Clayton-Anti Trust Act
Suppose the Federal Open Market Committee decides to buy $40 billion in securities as part of their open market operations. For each of the following, identify whether the component mentioned will increase or decrease.
Suppose the exchange rate between the U.S. dollar and the Swedish krona was 6.65 krona = $1.00, and the exchange rate between the dollar and the British pound was £1 = $1.67. What was the exchange rate between Swedish kronas and pounds?
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