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Suppose a monopolist can purchase Labor at a price w = 36 and can purchase Capital at a price r = 25. The monopolist's production function is given by Q = L1/2K1/2. The demand facing the monopolist is given by P = 180 - 3Q. What is the Monopolist's total cost function?
Calculate the predicted probabilities and verify that all the ?tted values are between 0 and 1. What is the smallest value you observe? And the largest?
Explain why this model violates the assumption of no perfect collinearity. Write the t statistic for testing the null hypothesis
Calculate the value of each of the following, before the tax and after the tax, to complete the table that follows: 1. The Equilibrium quantity produced Equilibrium Quantity (Millions of units) Before tax? After tax? 2. The equilibrium price consume..
In a Good job, a qualified worker produces 100 units and an unqualified worker produces 0. There is enough demand for workers for each type of job; companies must pay what they expect the appointee to produce.
Let's explore the business of Charlie the Weaver. He owns a loom which he could sell for $100,000, but instead uses himself. He spends 1250 hours per year on his weaving. He makes little square placemats of different Hollywood scenes that sell for..
Consider the production of holes. To dig a hole, it takes one person (P) and one shovel (S). The total number of holes dug is given by the production function h=f(P,S)=min(P,S). If you currently have 2 persons and 4 shovels
What is the probability that an individual drawn from this distribution holds public health insurance? What type of probability is this?
Suppose that the country of Bigu has a population of 127 million, of which 83 million are in the working-age population. Of those , 25 million are not in the labor force and 52 million are employed. A) Calculate the working age population as a per..
determine the present equivalent value of $400 paid every three months over a period of seven years in each of the follwing situations: a) the interest rate is 12% componded annualy. b) the interest rate is 12% compounded qarterly.
ADVANCED ANALYSIS Assume the following values for Figures 5.4a and Figures 5.4b. Q1 = 20 bags. Q2 = 15 bags. Q3 = 27 bags. The market equilibrium price is $45 per bag. The price at a is $85 per bag. The price at c is $5 per bag. The price at f is ..
You and a classmate are assigned a project on which you will receive one combined grade. You each want to receive a good grade, but you also want to avoid hard work. In particular, here is the situation If both of you work hard, you both get an A, ..
Suppose the second equation is changed to I = 500. What is the new equilibrium level of income? How much does the $100 increase in investment change equilibrium GDP?
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