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What is the opportunity cost of going to college? List the major explicit costs of attending a college. Also, list the main opportunity or implicit costs of going to college. What may be some of the opportunity costs of not attending and finishing a college degree? How can one compare the economic costs and benefits of going to college to determine whether one should attend college or not?
Suppose there is a policy debate regarding the United States’ imposing trade restrictions on imported semiconductors: A senator from a state with several semiconductor factories argues that the government should impose a tariff on semiconductors beca..
How does the Cournot model of oligopoly differ from the Stackelberg model?
What role do monetarists believe the government should play in the economy and why? After that has been discussed, what Keynesian and New classical economists believe about macroeconomic policy? Which role of thinking do you think you would fit in?
If the marginal product per dollar spent on capital is more than the marginal product per dollar spent on labor, then in order to minimize costs the firm should use
The Cobb-Douglas production function is given by: Y = AK^(α)L^(1−α) where 0
Airbus and Boeing will develop a new commercial jet aircraft. Airbus is ahead, and Boeing is considering whether to enter the market. If Boeing stays out, it earns zero profit, while Airbus enjoys a monopoly and earns a profit of $1 billion. Does it ..
Sarah's preferences for consumption and leisure can be expressed as U ( C , L ) = ( C - 180 ) × ( L - 80 ) . This utility function implies that her marginal utility of leisure is C - 180 and her marginal utility of consumption is L - 80. What is her ..
A consumer has the utility function U(x,y) = xα yβ , where x$0 and y$0 represent her consumption of goods X and Y, and α>0 and β>0 are exogenous parameters. Calculate the consumer’s elasticities of demand for X and Y. These elasticities may be functi..
Do the hold out values fall within the forecast 95% confidence limits?
The state has announced its plans to license two firms to serve a market whose demand curve is given by ? = 100 ? The technology is such that each can produce any given level of output at zero cost, but once each firm's output is chosen, it cannot be..
One major reason that GDP is an inaccurate measure of the true level of economic activity is that
Which of the following is not true if a firm shuts down and produces zero output in the short run: A. Variable cost will be zero B. Losses will be incurred C. Fixed costs will be greater than zero D. Fixed cost will be less than zero.
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