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Why would a merger reduce costs? Why would a merger increase markups? Why do many mergers fail nonetheless?
What information would you like to have to plan advertising spending?
Why might banning advertising drive up prices?
Offer examples of attribute-based product differentiation and information-based product differentiation
the origin and do not intersect the axes. The price of sushi is $10 and the price of soy milk is $2. She is spending all her income at the basket she is currently consuming, and her marginal rate of substitution of sushi for soy milk is 4. Is she ..
If Burton was driving trucks for one of the competing trucking firms, he would earn $5,000 per month. Burton is proud of the fact that he is generating a net cash flow of $7,000 ($25,000 - $18,000) per month, since he would be earning only $5,000 ..
what is the maximum loan that the bank could extend. indicate how the banks balance sheet would be altered if it extended this loan. suppose that the required reserves were 20 percent. if this were the case, would the bank be in a position to extend..
John has decided to start his own lawn-mowing business. To purchase the mowers and the trailer to transport the mowers, John withdrew $1,000 from his savings account, which was earning 3% interest, and borrowed an additional $2,000 from the bank.
Which combination(s) in part (c) lie inside the affordable set, and which lie on the boundary?
Find the equilibrium level of income (Y*). Construct an aggregate expenditures model showing this information. What happens to RGDP if government spending decreases by $5 billion? Provide specific numbers. Suppose this economy opens up to trade. If..
Explain why a monopolist, such as Media Cable, faces a downward-sloping demand curve Explain why the marginal revenue from an additional sale is less than the price of the service Suppose Media Cable currently charges $70 for its service. If it lo..
A corporation has 15,000 employees. Sixty-two percent of the employees are male. Twenty-three percent of the employees earn more than $30,000 a year. Eighteen percent of the employees are male and earn more than $30,000 a year.
Discuss how new discoveries in genetics are contributing to our understanding of the HIV virus & how some folks exposed to HIV have been able to escape developing AIDS.
Suppose that the country of Bigu has a population of 127 million, of which 83 million are in the working-age population. Of those , 25 million are not in the labor force and 52 million are employed. A) Calculate the working age population as a per..
Proponents of the program have said that $400 million will be given directly to taxpayers and argue that this will have an economic effect that is greater than the original $400 million spent because of the multiplier effect. Many voters and taxpa..
Amanda and Blake have found a house, which owing to a depressed real estate market costs only $201500. They will put $22000 down and finance the remainder with a 30-year mortgage loan from Bank of America at 4.65% (compounded monthly).
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