2. A manager hires labour and rents capital equipment in a very competitive market. Currently, the wage rate is £6 per hour and capital is rented at £12 per hour. If the marginal product of labour is 50 units of output per hour and the marginal product of capital is 75 units of output per hour, is the firm using the cost-minimising combination of capital and labour? If not, should the firm increase or decrease the amount of capital used in the production process?

Q: Eleanor is head of the corporation's accounting department.  In an organizational chart she would be…

A: An organizational chart defines the internal position of the employees/people in an organization. It…

Q: B: Theory: Labour supply For the following three questions, assume that leisure is a normal good. 3.…

A: In economics, the term "budget constraint" refers to all of the different combinations of products…

Q: What is the equilibrium price and quantity of Soybeans?                         What is the price…

A: A market is in equilibrium at that point where the quantity demanded and quantity supplied are…

Q: The Return of Detroit City: Enpar manufactures engine parts for Ford using steel as an input. Enpar…

A: In economics, profit expansion is the short run or long run process by which a firm might decide the…

Q: A utility saver with utility function u = f₁1/2f21/2 earns m₁ = 40 and m₂ = 0. She can save at an…

A: Intertemporal Consumption choice decision: This is an example of the Intertemporal consumption…

Q: QUESTION 43 Once trade begins, a possible terms-of-trade for textiles in terms of grapes is B- (A:…

A: Terms of trade is the amount of import goods an economy can purchase per unit of export goods.

Q: The following problems require the use of the graph below. Make sure that you are clear in doing any…

A: Abatement Cost is defined as the cost or expenditure that tends to reduce pressure on the natural…

Q: Kelsey purchases a retirement annuity that will pay her $1,500 at the end of every six months for…

A: In retirement, an annuity is a kind of assured income that the individual is presented with as a…

Q: One characteristic of perfectly competitive markets is that individual firms O engage in product…

A: Depending on the firms' profits, entry and exit take happen. In order to enter a market structure,…

Q: Analyze below the Cash Flow and compute for the unknown value.

A: The annual worth method or AW method implies that all the incomes along with disbursements, regular…

Q: Chapter 14 a. can be represented by the area P3 x Q3. b. can be represented by the area P3 x Q2. c.…

A: And for a price taker firm the profit maximizing condition is : P = MC Total revenue by selling Q…

Q: Suppose you observed that, by-and-large, in times of economic recessions, China mainly adopts fiscal…

A: Monetary policy  refers to actions taken by the central bank with the intention of changing the…

Q: 3. Understanding marginal and average tax rates Consider the economy of Pomistan, where citizens…

A: The marginal tax rate is the tax rate one has to pay on an additional dollar of income while the…

Q: 6. The Crispy-Cola Corp. (CCC) wants to expand into selling its cans of cola via vending machines…

A: Given,  Crispy-Cola Corp. (CCC) expands into selling its cans of cola by vending machinesIt…

Q: A company produces two products. FC = Total Fixed costs = $580 VC₁= variable costs from product 1 =…

A: The firm should produce where the firm is able to cover it's variable cost of production.

Q: Draw YOUR indifference curve for the consumption of two goods (you pick the goods – be creative!)…

A: A consumer is a rational person who wants to gain the maximum satisfaction level from paying the…

Q: If the production function is Q = 30 + 22L + 30K, what's the most you can produce with 5 workers (L)…

A: As given Production Function Q = 30 + 22L + 30K Also K( capital) = 7 units L(workers) = 5

Q: Which trade pattern is BEST explained by increasing returns? O Nicaragua exports bananas to the…

A: Increasing returns is achieved when a country produces commodity on large scale so that the cost of…

Q: I need it described algebraically and graphically, showing the connection between the two

A: In the absence of a written agreement or contract, minimum wage is the lowest amount of compensation…

Q: The Blu-ray Disc Rental Market) Use Figure: The Blu-ray Disc Rental Market. If the rental price of…

A: Introduction Demand is the quantity that a consumer is willing and able to buy at each possible…

Q: Economists consider full employment as being a situation where: everyone who wants a job has a job.…

A: A person is structurally unemployed when the skills posses by the person is no longer required by…

Q: Maria has $7.00 to spend on breakfast. Unfortunately, the snack bar in the building where she works…

A: Budget constraint shows the various combinations of price and quantity that can be purchased from…

Q: Yogajothi is thinking of investing in a rental house. The total cost to purchase the house,…

A: The rate of interest is 6% compounded monthly. Thus,  Firstly, compute the effective interest rate.…

Q: Is real estate BEST viewed as a commodity or a resource? Defend your position on why?

A: According to me, real estate is viewed as a resource not as a commodity. This is because a commodity…

Q: Suppose the demand curve for a product is given by Q=300-2P+44 where Iis average income measured in…

A: Information Given:  Qd = 300 - 2P +4I Qs = 3P -50 I - refers to the income.

Q: The October 26, 2022, Wall Street Journal reports that Halloween candy prices were 13% higher this…

A: Answer to the question is as follows:

Q: C: Payday loans Samson can choose between two goods: consumption this week, and consumption next…

A: The budget constraint refers to the boundary of the opportunity set i.e. all possible combinations…

Q: Consider the simultaneous equilibrium in the US money market and the foreign exchange market. In…

A: The exchange rate between two currencies refers to the rate at the which one currency may be…

Q: Use the relation MPK (K, L) MPL(K, L) a) Jerseys b) Caps c) Scarves d) Shorts. r W to determine if…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Dumping occurs when a firm sells too much of a good in a foreign country. O True False

A: When two or more nations are involved in the exchange of products and services, then it is termed…

Q: Calculate the percent change in the price of an office chair from 2010 to 2018.

A: Percentage increase in price is called the inflation rate.   The percentage decrease in price is…

Q: consumer has inverse demand of   p=15−1q   for a good and the market price is   ​$4.00.…

A: Consumer surplus is the difference between maximum price willing to pay and the market price.

Q: Q1. Explain the different types of Elasticity of supply giving one example each.

A: The elasticity of supply is the ratio of percentage change in the price level over a certain…

Q: 4. Berikan perbezaan antara 'model penggunaan dengan 'model permintaan'. Kemukakan contoh-contoh…

A: A consumption model is a  valuing model is a help arrangement and installment conspire in which the…

Q: A continuous random variable X is uniformly distributed over interval [2, 5]. What is the standard…

A: If X is uniform distribution whose values lies in the interval [a , b] where 'a' and 'b' are the…

Q: An amortization of a debt is in a form of a gradient series of P10,000 on the first year, P9,500 on…

A: Given, Value at Year 1 = P10,000 Value at Year 2 = P9,500 Value at Year 3 = P9,000 Value at Year 4 =…

Q: Derive the Harrod-Domar growth equation, starting with K(t+1) = (1 - 6)K(t) + 1(t) where: K(t) =…

A: Harrod-Domar's model is one that describes the growth rate of the economy in terms of investments…

Q: Gloria decided to open her own business and earns $50,000 in accounting profit the first year.  When…

A: Opportunity cost refers to all that is given up to make a particular decision. Economists minus the…

Q: f.What are the aim of classical country-based trade theories?

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: An article in the Wall Street Journal in July 2020 discussed the falling value of the U.S. dollar in…

A: The Federal reserve is the apex financial institution and it supervises the money supply and seeks…

Q: Vintage Camera T Temple MIS G is You have the following data for product X: s

A: There are two types of production processes, short-run, and long-run production processes.…

Q: An article in the Wall Street Journal observes: “For 2008, productivity grew an astounding 2.8% from…

A: Labor productivity is the ratio of the total output to the total labor hours.

Q: France has absolute advantage in the production of (A: grapes; B: textiles: C: both grapes and tex

A: Absolute advantage occurs where a country can produce good more efficiently relative to the another…

Q: b. Provide estimates for the following key National Accounts Aggregates Gross Value added i. ii. iv.…

A: Gross domestic product, GDP is the value of all the products and services that are generated in an…

Q: Chapter 14 10. Refer to Table 14-1. If the firm is producing 3 units of output, it should produce a.…

A: At 3 units of output  Total Revenue = P x Q  Total Revenue = $6 x 3 = $18 At 2 units of output Total…

Q: A firm is considering hiring a worker and providing the worker with general training. The training…

A: The labor market is an important part of the business sector. The cost of a product or service…

Q: You quit your job as an analyst making $50,000. You then take your $500,000 in savings and open a…

A: The difference between the money collected from the sale of an output and the expenses of all inputs…

Q: Discuss the following (make sure to include the examples and its role to country/world): 1. Shortage…

A: In terms of economics, a shortage occurs when there is a discrepancy between the amount provided and…

Q: Suppose over the next several years the level of income and wealth rises in the state of Florida.…

A: The equilibrium price is established where the demand and supply are equal.  The change in the…