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Why have the prices of pocket calculators of DVD players fallen? What do you think has happened to the costs and economic profits of the firms that make these products?
Research how externalities impacted the development of communication infrastructure- both positively and negatively and discusses a positive example of externality associated with the development of communication infrastructure and Explain why?
Why did the prices of the other items change? What is the probable impact of the change of other items in the CPI basket?
Assume $92,500 is an accurate estimate of the annual savings that will result from this investment, but it is not clear how long the machine will be used. Assuming that the salvage value decrease linearly from $500,000 to $50,000 over a 10-year in..
Suppose there is a tax cut, holding constant government purchases and all other factors affecting the AD curve. Illustrate the short run effects on output and the price level and LABEL them.
Suppose that you are hired as consultant to a firm producing a therapeutic drug protected by a patent that gives a firm a monopoly in two markets. The drug can be transported between the two markets at no cost. The demand schedule in the first mar..
Consider an economy with a constant nominal money supply, a constant level of real output Y = 100, and a constant real interest rate, r = 0.10.
what resources do you make use of in order to maximize your level of satisfaction How do we determine what items to buy How do companies decide what items to produce How do firms determine whether to produce something
During 1993 when the economy was growing very slowly, President Clinton recommended a series of spending cuts and tax increases designed to reduce the deficit. These were passed by Congress in the Omnibus Budget Reconciliation Act of 1993.
If there is asymmetric information what is the optimal strategy for the workers What is the optimal strategy for the firm Is the employment contract between the firm and the workers self-enforcing If yes, why If not, which would be a self-enforcing..
Will firms in industries, in which high levels of output are necessary for minimum efficient scale, tend to have substantial degrees of operating leverage? Please explain.
What is the value of the vertical intercept of the aggregate expenditures function when we add net exports. What is the total (equation wise) of autonomous spending with net exports added.
You are the manager of a firm that receives revenues of $40,000 per year from product X and $70,000 per year from product Y. The own price elasticity of demand for product X is -1.5, and the cross-price elasticity of demand between product Y and X..
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