Savings = income - expenditures. So, for the first example savings =-50
Use the multiplier. a) 8*10=80, b) -5*10=-50 and c) 20*10=200 Again, Am I missing something, some part of the problem, here?
I have the feeling I am missing something. Are the questions referring to some graph which I dont see??
Microeconomics - Oligopoly
The two firms agree to act as a monopolist. Sinc MC is zero for both firms, they will produce where MC=MR=0 (where MR is the combined MR for both firms). And when MR=0, the elasticity of demand is -1. So b is true. Now at this optimal production point, each firm producing its ...
I suspect there is something more to your question. The short, obvious answer is that output per worker increases.
Something is missing here. You dont present the estimated equation, only one observation. Plz re-check your problem and then repost if you are still having trouble.
In the UK it costs 6 cloth to get 2 wheat. Ergo, cost for 1 wheat is 3 cloth. In US it cost 5 cloth to get 1 wheat.
I dont know what "artifical supply creates artificial demand" means at all. A price ceiling that is below the otherwise equilibrium price creates a market shortage. (illustrate this on a supply-demand graph). I like your sentence about the black market. With rationin...
Can you assume the probability of success is the same for everybody? Does success for 12 mean that each person was successful? If so. Let p=probablity of success for one person. Let x be the known probability of success for 12 people. So for 12 people p^12 = x. Take natural lo...
Integrate the MC function. MC is the first derivitive of TC. So, TC = 10Q + (5/2)Q^2 + C