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An oil company is considering a routine core analysis to be done from an outside lab. The outside lab charges 20$ per core plus $1 per core for shipping and handling. The manger of the core lab at the oil company contends that costs associated with the equipment are approximately $10/core, the cost of material is $2/core, and the cost of direct laboris $5/core. Therefore, he contends that the core study should be done in-house. Why?
The company has conducted its economic study and has observed that, based on the overhead cost allocation, the cost of lab space is $4/core and the overhead costs are $3/core. The company thinks that it can use the space more efficiently.
Discuss why the core analysis should be done outside. What is the correct perspective in economic analysis?
Briefly explain why firms that pursue cost leadership or diffentiation achieve returns that are about equivalent, have higher returns, and firms that are stuck in the middle have the lowest returns?
In the eclectic economy of Ecentricitia, their currency is the Ecentric dollar (ED). 0.05 of each ED earned by Ecentricites goes to taxes. 0.09 of each ED earned is spent on imports. After taxes, they save 0.15 of each ED. What is the Government spen..
Explain the differences between typical demand side fiscal policy and supply side fiscal policy. For each of the following fiscal policy proposals, determine whether the primary focus is on aggregate demand or aggregate supply or both.
Below are the supply and demand functions for two markets. One of the markets is for BMW automobiles, and the other is for a cancer-fighting drug, without which lung cancer patients will die. Briefly explain which diagram most likely represents which..
Which one is more effective comparing with the tools of fiscal policy?
Suppose that in a particular country, GDP per capita was $ 10,000 in 1960 and $ 40,000 in 2008. Using the rule of 72 (not a calculator), approximate the annual growth rate of GDP per capita.
Under the responsibility scheme proposed by the Hong Kong government, households will be charged for solid waste disposal. Is this charge justifiable from an economics point of view? Explain your answer with a diagram ( IT is Microeconomic question)
Aspects of fiscal policy Suppose the economy had been producing at natural real GDP but is now experiencing a recession. Which of the following are discretionary fiscal policies that could bring the economy closer to natural real GDP? In the precedi..
q.before the gulf war kuwait had the capacity to produce a certain amount of oil from its oil wells. after the war it
Suppose the US. Unemployment rate at the start of 2010 had been 6% instead of 9.7%. How many more people would have been working (assuming the labor force remained the same)?
All of the following are examples of automatic stabilizers except :
Which of the following would cause a shift of the supply curve for hot dogs check all that apply?
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