Economics

Consider a cable TV company that has a fixed cost of $48 million and a marginal

Consider a cable TV company that has a fixed cost of $48 million and a marginal cost of $5 per subscriber. The company is regulated with an average-cost pricing policy. The two co…

Consider a cartel, the Organization of the Rice Exporting Companies (OREC), whic

Consider a cartel, the Organization of the Rice Exporting Companies (OREC), which is a group of rice-exporting countries. Although OREC has eight members, let’s keep it simple and…

Consider a city dealing with a severe ozone problem. Ozone levels are initially

Consider a city dealing with a severe ozone problem. Ozone levels are initially uncontrolled and there are 100 units of ozone in the atmosphere. The ozone results from emissions a…

Consider a city dealing with a severe ozone problem. Ozone levels are initially

Consider a city dealing with a severe ozone problem. Ozone levels are initially uncontrolled and there are 100 units of ozone in the atmosphere. The ozone results from emissions a…

Consider a city that has a number of kebab stands operating throughout the downt

Consider a city that has a number of kebab stands operating throughout the downtown area. Suppose that each vendor has a marginal cost of £1.50 per kebab and no fixed cost. Suppos…

Consider a city where the owners of vacant lots will vote on a proposed growth b

Consider a city where the owners of vacant lots will vote on a proposed growth boundary. There are 14 vacant lots (one per owner), six inside and eight outside the proposed bounda…

Consider a city with a lake. The city has a hiking lodge whose visitors use the

Consider a city with a lake. The city has a hiking lodge whose visitors use the lake for recreation. The city also has a tannery that creates industrial waste, which it dumps into…

Consider a city with a river. The city has a resort whose visitors use the river

Consider a city with a river. The city has a resort whose visitors use the river for recreation. The city also has a chemical plant that creates industrial waste, which it dumps i…

Consider a city with a river. The city has a resort whose visitors use the river

Consider a city with a river. The city has a resort whose visitors use the river for recreational purposes. The city also has a tannery that creates industrial waste which it dump…

Consider a city with a river. The city has a resort whose visitors use the river

Consider a city with a river. The city has a resort whose visitors use the river for recreational purposes. The city also has a tannery that creates industrial waste which it dump…

Consider a city with many banks. We model the market as having a monopolisticall

Consider a city with many banks. We model the market as having a monopolistically competitive market structure with horizontal product differentiation as in class.1 Suppose that e…

Consider a classical economy with the following characteristics: Investment Func

Consider a classical economy with the following characteristics: Investment Function: I= i0 -i1r +i2IC where IC represents investor confidence Consumption Function: C= a+b(Y-T) - …

Consider a closed economy in which the money supply totals $120,000. The price l

Consider a closed economy in which the money supply totals $120,000. The price level is constant at a value of 2 and nominal GDP is currently $200,000. Calculate (income) velocity…

Consider a closed economy to which the Keynesian cross analysis applies. Consump

Consider a closed economy to which the Keynesian cross analysis applies. Consumption is given by the equation C=200+2/3(Y-T). Planned investment is 300, as are government spending…

Consider a closed economy to which the Keynesian-cross analysis applies. Consump

Consider a closed economy to which the Keynesian-cross analysis applies. Consumption is given by the equation C = 200 + 2/3(Y ? T). Planned investment is 300, as are government sp…

Consider a closed economy to which the Keynesian-cross analysis applies. Consump

Consider a closed economy to which the Keynesian-cross analysis applies. Consumption is given by the equation C= 200 + 2/3(K- T). Planned investment is 300, as are government spen…

Consider a closed economy where the central bank follows an interest rate rule.

Consider a closed economy where the central bank follows an interest rate rule. The IS relation is given by where r is the real interest rate The central bank sets the nominal int…

Consider a closed economy with the following consumption function: C = 250 + 0.7

Consider a closed economy with the following consumption function: C = 250 + 0.75(Y - T) What is the marginal propensity to consume for this economy? What is the simple spending m…

Consider a closed economy, described by the following equations: (1) C = 0.75YD

Consider a closed economy, described by the following equations: (1) C = 0.75YD + 140 (2) YD = Y - T (3) T = 0.20Y (4) I = -2,000r + 400 (5) G = G* = constant (6) Y = C + I + G (7…

Consider a commercial bank with the following assets and liabilities: cash 14 mi

Consider a commercial bank with the following assets and liabilities: cash 14 million; bank's own capital 12 million; residential mortgages 60 million; commercial loans 40 million…

Consider a committee of Ann, Bob, and Carol that is choosing between three alter

Consider a committee of Ann, Bob, and Carol that is choosing between three alternatives, {x, y, z}. Player i’s preferences are represented by the ordering i . Suppose the three pl…

Consider a committee of Ann, Bob. and Carol that is choosing between three alter

Consider a committee of Ann, Bob. and Carol that is choosing between three alternatives, {x.y.z}. Player i's preferences are represented by the ordering Suppose the three players …

Consider a committee that consists of three people, A, B, and C, that is to exam

Consider a committee that consists of three people, A, B, and C, that is to examine three proposals, x, y, and z.  The committee can adopt at most one of the three proposals; it a…

Consider a company that produces dog toys. The only resources that the company u

Consider a company that produces dog toys. The only resources that the company uses to produce these toys are Capital (i.e. machines and raw materials) and Labor (i.e. workers). T…

Consider a competitive industry in which each firm has the same production techn

Consider a competitive industry in which each firm has the same production technology given by the production function q = J1/6 K1/6 L1/6, where J, K and L are three inputs and q …

Consider a competitive industry producing a product at a marginal cost of 5. Inv

Consider a competitive industry producing a product at a marginal cost of 5. Inverse demand in this industry is given by P (q) = 15 - 2q (i) What is the competitive equilibrium pr…

Consider a competitive industry that extracts a valuable mineral from deep under

Consider a competitive industry that extracts a valuable mineral from deep underground. The industry faces market demand for the mineral given by P 200-2Q and extraction incurs a …

Consider a competitive industry with a large number of firms, all of which have

Consider a competitive industry with a large number of firms, all of which have identical cost functions c(y)=y2+1 for y>0 and c(0)=0. Suppose that initially the demand curve f…

Consider a competitive industry with a large number of firms, all of which have

Consider a competitive industry with a large number of firms, all of which have identical cost functions c(y)=y2+1 for y>0 and c(0)=0. Suppose that initially the demand curve f…

Consider a competitive market for a product X that is in its long run equilibriu

Consider a competitive market for a product X that is in its long run equilibrium. Suppose that this is a normal good, and that consumer's income increases and the increase is exp…

Consider a competitive market for apartments, What would be the effect on the eq

Consider a competitive market for apartments, What would be the effect on the equilibrium output and price after the following changes (other things held equal), In each case, exp…

Consider a competitive market served by many domestic and foreign firms. The dom

Consider a competitive market served by many domestic and foreign firms. The domestic demand for these firms’ product is Qd = 1300 - 2.5P. The supply function of the domestic firm…

Consider a competitive, price taking firm that employs only one variable input,

Consider a competitive, price taking firm that employs only one variable input, labor, to produce a product that sells for $14 per unit. The wage rate is $24 per unit of labor and…

Consider a competitve market with a large number of identicalfirms. The firms in

Consider a competitve market with a large number of identicalfirms. The firms in this market do not use any resources thatare available only in limited quantities. In this market,…

Consider a consumer of bologna and bread, which is typically eaten together as a

Consider a consumer of bologna and bread, which is typically eaten together as a sandwich( ie. one slice of bologna and tw slices of bread result in one sandwich, two slices of bo…

Consider a consumer who consumes only two products X and Y . (for example, X may

Consider a consumer who consumes only two products X and Y . (for example, X may be housing and Y may represent a "composite commodity" con- sisting of all other goods). Assume th…

Consider a consumer who earns $700 if it is sunny and nothing if it rains. Rain

Consider a consumer who earns $700 if it is sunny and nothing if it rains. Rain occurs with probability ¼. The consumer’s von Neumann-Morgenstern utility index is U = Y1/2. The co…

Consider a consumer who is initially a lender. What are the effects of a decreas

Consider a consumer who is initially a lender. What are the effects of a decrease in the real interest rate on this consumer Consider a consumer who is initially a lender. What ar…

Consider a consumer who purchases two goods, X and Y. The utility function of th

Consider a consumer who purchases two goods, X and Y. The utility function of the consumer is U(X, Y) = Y x MUx = 1/2 Y x and MUy = x . Suppose the consumer has an income of $1500…

Consider a consumer whose Marginal Substitution Ratio between two goods, Y and X

Consider a consumer whose Marginal Substitution Ratio between two goods, Y and X, is always constant. Given some prices and an income, the consumer chooses to consume exclusively …

Consider a consumer with utility function U(c,cf) = logc + 3 log c\' where c is

Consider a consumer with utility function U(c,cf) = logc + 3 log c' where c is consumption in present and d is consumption in future. Consumer receives real income y and y' and ca…

Consider a consumer with utility function u = U(x, y) defined on the nonnegative

Consider a consumer with utility function u = U(x, y) defined on the nonnegative orthant facing positive prices p^o and q^o for x and y by, respectively. State restrictions on U s…

Consider a contract for the sale of a parcel of land from seller Sandy to buyer

Consider a contract for the sale of a parcel of land from seller Sandy to buyer Benny at a price of $14,500, where the sale price reflects Benny’s reservation price. After the sal…

Consider a contractual setting in which two players have agreed to invest (play

Consider a contractual setting in which two players have agreed to invest (play I) in a cooperative enterprise. However, since their agreement, but before they have made the inves…

Consider a country in autarky that produces two goods (apples and bananas) and u

Consider a country in autarky that produces two goods (apples and bananas) and uses two inputs (capital and labor)." Currently it has efficiency in production. The slope of the pr…

Consider a country in which Y = 200 K^2/5N^3/5. Assume in this country they save

Consider a country in which Y = 200 K^2/5N^3/5. Assume in this country they save 20% of their income, population grows at 3% per year, and depreciation of capital occurs at 10% pe…

Consider a country that is operating with a fixed exchange rate under conditions

Consider a country that is operating with a fixed exchange rate under conditions of perfect mobility. a. Explain what effects you would expect an in increase in world interest rat…

Consider a country that was debating whether to adopt the gold standard during t

Consider a country that was debating whether to adopt the gold standard during the heyday of that international monetary arrangement. What difference would the level at which the …

Consider a country with 300 million residents, a labor force of 150 million, and

Consider a country with 300 million residents, a labor force of 150 million, and 10 million unemployed. Answer the following questions: (show your work for credit) What is the lab…

Consider a country with an economy whose GDP is described by the following formu

Consider a country with an economy whose GDP is described by the following formula: GDP = G+I+C+X, where G is government, I is investors, C X stands for an international business …