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What happens when supply is totally elastic or totally inelastic, and a subsidy is given by the government: Will the producer change the amount of units he’s supplying to the market? And will the price received by the producer be reduced, or will the price paid by the consumer be reduced?
Calculate the annual worth (years 1 through 7) of Merchant TruckingCompany's cash flow. Use an interest rate of 10% peryear. Year 0 1 2 3 4 5 6 7 Cash Flow, $ millions 450 -40 200 200 200 200 200 200
Consider a tropical island economy with 2-sectors, souvenir manufacturing and hospitality. Both sectors are perfectly competitive, and workers are equally able and willing to work in either industry.
Why is market competition important? Is there a positive or negative impact on the economy when strong competitive pressures drive firms out of business? Why or why not?
Explain why does a production possibilities curve bow out rather than forming a straight line sloping downward from left to right.
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
The relevant cost functions are C(Qi) = 4Qi, and the inverse market demand curve for this unique product is given by P = 160 - 2Q. Currently, you and your rival simultaneously (but independently) make production decisions, and the price you fetch ..
In "The Journal Of Economic Perspectives" published by the American Economic Association studied the concept of standard of living from 1800 to the present. They talk about health, birth rate, length of life, literacy, and politics.
Assume the total demand for fish and the total supply of fish per month in the Kansas City fish market are as follows:
Describe the uncontroversial final effect of a contractionary monetary policy and an expansionary fiscal policy.
If the required reserve ratio is 10 percent, banks keep 2 percent excess reserves, and the public keeps a 10% cash to deposit ratio, determine the money multiplier?
In 1982 to 1984 the base period used for the customer price index, the average earnings of construction workers were $442.74 a week.
What did the central banks do to stabilize the financial systems in 2007-2009 and Describe when and why central banks buy either their own currency or the currency of another nation in an effort to control exchange rates.
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