Questions
It is known that the company has a cost function ?? = 2?^3 3 - 15?^2...

It is known that the company has a cost function ?? = 2?^3
3 - 15?^2
2 + 60? and the company is
price takers on the market. Given the market demand function ? = 22 - 2? and the supply function
market ? = 2 + 2?.
A. Determine market prices in perfect competition.
b. Prove that the price at 3.a company produces at the lowest average price.
c. Use charts, illustrate what happens in the market if at the initial price 15.
What happens in the long run (consider constant costs)

the function is TC = 2Q^3 - 15Q^2 + 60Q

In: Economics

How can a demand curve be derived by using indifference curve analysis? Please type your short...

How can a demand curve be derived by using indifference curve analysis? Please type your short answer below.

You have two Points, A and B, with the respective number pairs (10, 15) and (7, 21). What is the value of the slope of a line drawn between these two points?

What is creative destruction? What role does it play in the evaluation of antitrust policy?

What are some elements of the opportunity cost of clean air? In total, the cost of cleaner air increases as we remove more and more pollution. Do you think that the extra cost of each unit of cleaner air increases, decreases, or remains unchanging as we progressively remove pollution? Explain your thinking. Graph your hypothesized relationship between the extra cost (vertical axis) and cleanness of air (horizontal axis).

What are the types of monopolies, and how are they formed? Assess the performance of each, in terms of efficiency, relative to perfect competition.

In: Economics

Contrast the current SSA (neoliberalism) with the post-war SSA (capital labor accord, or ‘golden age of...

Contrast the current SSA (neoliberalism) with the post-war SSA (capital labor accord, or ‘golden age of capitalism’) through two (very short) family or friends’ stories. How have family members or friends faced down economic challenges since 1980, and before 1980. Do these stories reveal some of the structural differences from different periods of capitalism?

In: Economics

WHAT IS A CURRENCY PEG? HOW DOES IT AFFECT AFRICA AS A REGION?

WHAT IS A CURRENCY PEG? HOW DOES IT AFFECT AFRICA AS A REGION?

In: Economics

How will carbon tax affect the forestry in Canada. Please elaborate your answer Please answer this...

How will carbon tax affect the forestry in Canada. Please elaborate your answer

Please answer this in detail.

In: Economics

Let’s compare a tariff (tax on imports) to an increase in money supply in the short...

Let’s compare a tariff (tax on imports) to an increase in money supply in the short term, assuming that both depreciate the currency. How do they differ in effects on welfare? Why do many economists believe there are restrictions on countries ability to use tariffs to expand domestic output that are not present in the original model?

In: Economics

Relate price changes in bond markets to price changes in stock markets. Explain why prices move...

Relate price changes in bond markets to price changes in stock markets. Explain why prices move or do not move together.

In: Economics

Assume that the economy is at full employment. Now suppose a decrease in investment spending. At...

Assume that the economy is at full employment. Now suppose a decrease in investment spending. At the new equilibrium,   (3)

  1. will there be an output gap? What type? ________________________________

  1. what is the effect on the price level? ___________________________________
  1. what is the effect on the level of Real GDP? _____________________________

Assume that the economy is at full employment. Now suppose there is an increase in consumption. At the new equilibrium,

  1. will there be an output gap? What type? ________________________________

  1. what is the effect on the price level? ___________________________________
  1. what is the effect on the level of Real GDP?______________________________

In: Economics

GDP per capita is commonly used to compare well-being across countries, however it has its limitations....

GDP per capita is commonly used to compare well-being across countries, however it has its limitations. What is the potential impact of using GDP per capita as the only measure to compare well-being for people across different countries?

In: Economics

What is the importance of benchmark bonds yield for investors and fund managers? How does the...

What is the importance of benchmark bonds yield for investors and fund managers?

How does the benchmark of bonds yield is set the debt instruments market?

In: Economics

Fully explain why selling a level of output below the market-clearing equilibrium output level leads to...

Fully explain why selling a level of output below the market-clearing equilibrium output level leads to allocative inefficiency.  As part of your response make sure you provide a complete discussion or the source of allocative inefficiency. Also, fully explain why the marginal costs = the marginal benefit.

In: Economics

Discuss the Malthusian theory on population growth. Do you think it is applicable in the 21st...

Discuss the Malthusian theory on population growth. Do you think it is applicable in the 21st Century? Why/why not? [PLEASE ANSWER THIS STEP BY STEP AND DO NOT WRITE BUT TYPE THE ANSWER

In: Economics

1. There are n identical users of a common-property resource. The output of user i is...

1. There are n identical users of a common-property resource. The output of user i is denoted yi . “Pollution” is a by-product of output. Let pi = yi be the amount of pollution generated by user i’s output yi . The profit that accrues to user i—not deducting for pollution damages—when i’s output is yi is given by 2yi − y 2 i . Pollutants reduce profit. When y1 + ... + yn is total output, the loss to each user is given by the damage function (y1 + ... + yn) 2 .

(d) Solve for the efficient profile of outputs y ∗∗ .

(e) Are all users better-off at y ∗∗ relative to y ∗ ? If so, why don’t they coordinate at y ∗∗?

(f) Show that there is a tax t such that if each user is made to pay $t per unit of output, the equilibrium profile of outputs coincides with y ∗∗ .

In: Economics

A remotely located air sampling station can be powered by solar cells or by running an...

A remotely located air sampling station can be powered by solar cells or by running an electric line to the site and using conventional power. Solar cells will cost $7,500 to install and will have a useful life of 4 years with no salvage value. Annual costs for inspection, cleaning, etc. are expected to be $1,750. A new power line will cost $15,500 to install, with power costs expected to be $500 per year. Since the air sampling project will end in 4 years, the salvage value of the line is considered to be zero. At an interest rate of 11% per year, which alternative should be selected on the basis of a future worth analysis?

The future worth of solar cells is $... and that of electric line is $... .

In: Economics

Is the Federal Reserves recent monetary policies ineffective? Is keeping the interest rate at 0% percent...

Is the Federal Reserves recent monetary policies ineffective? Is keeping the interest rate at 0% percent actually stimulating the economy for long term growth of the GDP?

In: Economics