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A firm uses two variable inputs, labor, L, and raw materials, M, with typically shaped isoquants. It pays $20 per hour for L and $5 per unit for M. At the current mix of L and M, the marginal products of L and M are: MPL = 20 MPM = 4 Is the firm minimizing costs? If not, what steps should it take to lower costs and still produce the same level of output?
Explain how many major wireless phone handset manufacturers are there. What is the market structure. What pricing strategies do wireless phone handset manufacturers use.
The Congressional Budget Office (CBO) on August 25, 2009 estimated that the accumulated deficit from 2010-19 will approximate $7.137 trillion.
Describe the expected amount of dollars to be paid by the Wake Forest Co. for the pesos in one year.
Say if the following statement is true or false and why-Exports depend only on the demand of foreign countries for our products and therefore our exporting
Explain how do governments borrow funds to finance deficit spending. What is likely to happen to interest rates in the market.
The government did nothing to stem the decline. From the point of view of economic policy, elucidate what would you think was the reason.
When there is deflation, as in inflation of -1%, the real interest rate that Herb pays (as compared to what he expected to pay): increases, so Herb feels poorer decreases, so Herb feels richer increases, so Herb feels richer decreases, so Herb fee..
Using a traditional game theory 2x2 matrix, show how this law prevents a prisoner's dilemma and thereby actually makes models better off. In other words, show what the game theory matrix looks like without this law.
Adopt a first-degree price discrimination policy, what prices should you charge to maximize revenues and what are the revenues?
In the context of the IS-LM model, what is the effect of each of the following on equilibrium output and the real interest rate? Explain why these effects occur and show graphically.
Suppose the following cost functions of a perfectly competitive company? Compute the firms profit or loss, should firm shut down if loss?
Describe the characteristics of the lattice organization at W.L. Gore as described by Gary Hamel? Which elements in Gore's model are compelling to you? Explain. Which elements of the Gore model are least compelling to you?
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