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You are the manager of a monopoly, and your demand and cost functions are given by P = 300 - 3Q and C(Q) = 1,500 + 2Q2, respectively.
a. What price-quantity combination maximizes your firm's profits?
b. Calculate the maximum profits.
c. Is demand elastic, inelastic, or unit elastic at the profit-maximizing price-quantity combination?
d. What price-quantity combination maximizes revenue?
e. Calculate the maximum revenues.
A tariff I ssimply a tax on imports. Use our model of the excise tax (with diagram) to expain why domistic firms request that tariff? Consider both the domestic and the foreign country in your answer
The Federal Reserve Bank controls money supply and interest rates in the US. How good, or bad, a job has it done over the past 2-years?
Do comparision with the economics of the two following service producing alternatives.
Calculate the effect of the following events on the monetary base:
The intent of this week exercise is to familiarize with EXCEL and to gain experience and practice in interpreting the output generated by most statistical packages (EXCEL) when linear regressions are run on a set of data.
Use the expenditure approach to comput GDP. Use the income approach to calculate GDP.
Suppose your cousin Vinnie owns a painting company with fixed costs of $200 and the following schedule for variable costs;
people are not very responsive to the price changes of this product and the absolute change in quantity demanded is less than the absolute change in price. people are not very responsive to the price changes of this product and the magnitude of th..
Describe the idea of trade offs cost also benefit analysis when answering the above question.
In each of the cases listed below determine what this consumer needs to do (in terms of purchasing X and Y) to maximizes their utility.
To what extent would increased government involvement with regard to fuel efficiency affect the behavior of manufacturers? To what extent would increased government involvement with regard to safety affect the behavior of manufacturers? Does it seem ..
What is the expected value of the company in one year, with and without expansion? Would the company's stockholders be better off with or without expansion? Explain. What is the expected value of the company's debt in one year, with or without expa..
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