Listed below is information on production for a firm that produces wheat. They can vary the number of workers. The land they use is fixed at one acre. The Wage is $ 20, The land costs $100, The wheat sells for $ 10 per unit.

# of workers | Total product

1...............................20

2................................70

3..............................130

4..............................180

5...............................210

6................................220

7.................................222

3) With 4 workers TOTAL COST is equal to ?

4) With 6 workers TOTAL REVENUE equal to?                   

5)With 7 workers, TOTAL PROFIT is equal to ?

6) If all these workers have the same level of skill, why does worker 6 have a LARGER marginal product than worker 7 ?

7) How many workers should this firm hire to maximize its profits ?

8) If this firm does hire the number of workers you answered for question (7), they will have TOTAL PROFITS equal to ?

9) If all these workers have the same skill level, why does worker 3 have a LARGER MPL than worker 2 ?

10) What is the amount of TOTAL FIXED costs for this firm and for all firms in the SHORT run.?

Comment on whether the price war would likely to end soon. (Base on your knowledge on Cartel and take Russia and OPEC as an example)

Suppose government puts a tax on investment at rate τ. That is, you get only 1 − τ apple tree next period if you invest one apple this period. Derive the investment demand equation (analog of Equation 4.1 in Lecture 5). What would be the effect of this tax on net exports and real exchange rate in an open economy in long run and very-long run? Explain in detail by showing the changes in the relevant markets.

Suppose government put a tax on renting capital so that firms need to pay τ fraction of their capital rental expenses as a tax to government. Drive first-order conditions for capital and labor by solving firm’s maximization problem. What happens in labor, capital and financial markets in short run and long run? Explain in detail by showing the changes in the relevant markets.

i) How might a central bank use monetary financing to allow the government to run up a bigger budget deficit?

How did the Northwest Ordinance effect westward expansion of the United States?

What is the Green Revolution? Write a short essay on the history and overview of the Green Revolution.(300) words

Consider the cash people carry in their wallets. This cash is part of the M1 money supply but not part of the M2 money supply.

True

False

When the bank makes a loan to a business, where does it get the money from?

from the purchase of government bonds

the bank's required reserves

the bank's excess reserves

the deposits held at the bank

When you compare the prices of two goods, you are using money as a medium of exchange.

True

False

If banks decide to hold a larger percentage of deposits on reserve then the money multiplier will increase.

True

False

In a blog Mr Bill Gates wrote, “You’ve probably never heard of CGIAR, but they are essential to feeding our future.” Do you agree with Mr Gates? Why, Why not? Explain your answers with relevant information.

1. What role does a firm's strategy play in determining organizational structure? Why are boundaries problematic for firms with international strategies?

Answer the following information by using the following data. Full employment occurs when GDP is $514 billion. The economy’s equilibrium occurs when GDP is $510 billion. According to the classical economists what problem would be illustrated with this economy? According to Classical Theory, how would this problem be solved?

What connections can we make between the U.S. corn economy and the lives of the people picking tomatoes in Florida? (Trying to trace the connections that exist between corn fields in places like Iowa, push factors in Mexico, and the life histories of the people picking the tomatoes that we find at our local grocery stores).