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If the price of chicken wings drops to $2.00, how many chicken wings should be produced then? Are you making profit above all costs at $2 chicken wings? At what price would be the short-run breakeven point? At what price should the firm shut down?
If you were the angel investor, what is your certainty equivalent for these two projects? Are you risk-averse, risk-neutral, or risk-lover?
The Occupational Safety and Health Administration (OSHA) promulgates safety and health standards. These standards typically apply to machinery (capital), which is required to be equipped with guards, shields, and the like. Analyze the possible employ..
List who you think were the top 5 players (whose ideas were most influential) through Chapter 12. For each, provide a well-written sentence or two describing their contributions to the development of our economic thought.
Corporation X is in the business of buying, restoring, and selling vintage cars. A local man attempts to sell to corporation X a vintage car, estimated to be worth $50,000, for the price of $1000. If the president receives the offer but, instead pres..
Two goods are complements if:
Cartco needs to borrow $4 million for an upgrade to its headquarters and manufacturing facility. Management has decided to borrow using a five-year term loan from its existing commercial bank. The prime rate is 3 percent, and Cartco’s current rating ..
Identify one example of a price control that is used in the United States or in another country. Does the price control benefit or harm producers and/or consumers? Why? If the price control were not in place, what would happen to the price of the imp..
a rich man has 1,000,000 in the bank earning 7% interest. He plans to give away 100,000 at the end of the year and to increase his gifting by 10% each year there after. How long with the million dollars last?
Electric utility companies usually operate their most modern and efficient equipment continuously (i.e around the clock) and use their older and less efficient equipment only to meet periods of peak electricity demand. What does this imply for the sh..
1. consider 2 countries avataria and twilightia which can be described by the solow model. avataria has a capital-labor
Long-run real interest rates are expected to increase. An accountant and an MBA student (who just finished his course of Managerial Economics) where interviewed regarding the effect on the firm they both work at. Keeping all else constant, their answ..
A country has national saving of $70 billion, government expenditures of $20 billion, domestic investment of $30 billion, and net capital outflow of $40 billion. What is its supply of loanable funds?
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