If the marginal product of capital is lower than the cost of capital, then a. the value of q is low. b. the profit rate is high. c. value of q is high. d. marginal propensity to consume is low.
Q: Consider a monopoly firm that produces diamonds. This firm sells in two distinct markets, one is…
A: The firm maximizes profit by practicing third degree price discrimination in both markets
Q: What is Buying behavior?
A: Meaning of Microeconomics: The term microeconomics refers to that situation under which the…
Q: Analyse how the S-C-P approach predicts performance (welfare) based on market structure and explain…
A: The S-C-P method predicts performance depending on market structure by analyzing businesses'…
Q: As time to expiration of an option is increased, with all else being equal, A. The price of the…
A: Options are derivatives contracts that allow the holder the right but not the duty to purchase or…
Q: What is a characteristic of pure command economies? A The government controls major industries. B…
A: There are majorly four types of economic systems. 1. Pure Command economy 2. Market economy 3.…
Q: If suppliers of tablet computers expect the price of their product to fall in the future, what will…
A: "Supply curve of a product represents a direct relationship between price of a product and quantity…
Q: CHOICES: a. Both statements are TRUE b. 1st statement is TRUE, 2nd is FALSE c. Both statements are…
A: When talking about agriculture sector, it can be said that it is the primary and most important…
Q: Suppose that the short-run world demand and supply elasticities for crude oil are −0.076 and 0.088…
A: A short run competitive equilibrium is a situation in which, given the firms in the market, the…
Q: A project has the following cash flows. Determine the exact ROR for this project. Item Cash…
A: Given, A project has the following data:First Cost : $250,000Annual Revenue : $16,000Life : 20…
Q: Multiple choice questions and give a short explanation to your answer According to the efficient…
A: Answer - Efficient market hypothesis:- This hypothesis states that market are efficient on there…
Q: Describe the bank capital requirements, leverage ratio requirement and liquidity requirements under…
A: Have you ever been curious about what Basel III means? Here is a complete guide to help you…
Q: QUESTION 3 Suppose the demand for oil is P-125Q-0.20. There are two oil producers who do not…
A: Production costs allude to each of the immediate and backhanded costs organizations face from…
Q: In LDCs, subsistence family farmers behave as “risk averters” because of _________. a. high…
A: LDC stands for least developed countries that are trying to improve their living standards and…
Q: Before Tariff or Tax Under Tariff Under Consumption Tax After Change After Change Consumer Surplus…
A: consumption tax duty paid straightforwardly or by implication by the buyer, like extract, deals, or…
Q: CHOICES: a. Both statements are TRUE b. 1st statement is TRUE, 2nd is FALSE c. Both statements are…
A: For statement 1- Increasing consumption of nonrenewable resources, increased pollution, global…
Q: In perfect competition, all buyers and sellers : Select one: a. None of the above O b. Take the…
A: As the two questions are different answer is provided to the first question. "Perfect competitive…
Q: Explain the concepts Gross national product, Net national product, National income and Disposable…
A:
Q: PLEASE SHOW GIVEN AND REQUIRED Use AW method to calculate the benefit/cost ratio at i = 6% for a new…
A:
Q: ** 11.5 Baker Mfg. Inc. (see Table 11.9) wishes to compare its inventory turnover to those of…
A: Management of Inventory is one of the most vital part for any firm to handle. As to manage inventory…
Q: The following table shows the market demand in a MONOPOLY market. What is the Marginal Revenue of…
A: Meaning of Monopoly Market: The term monopoly refers to the situation under which there is only an…
Q: that a country is end units of oil reserve. There is no oil substitute available. How long the oil…
A: Given that, the country is endowed with (5 units) of oil reserve, the demand function is P= 11-0.46q
Q: What health inequity issues, in the context of social, economic, and environmental determinants of…
A: The government is the institution that plays an important role in controlling fiscal policy. The…
Q: Problems encountered by aggregate suppliers
A:
Q: The graph on the right shows a domand curve labeled D Use the line drawing tool to draw the new…
A: Note - Since all the parts are already filled so I am answering from the 3rd point.
Q: 7. During sensitivity analysis, PW becomes 0 for an increased MARR and decreased number of economic…
A: Since you have posted a multiple question, we will solve first question for you. If you want any…
Q: 3. If dominance check is used to conclude a decision from four alternatives, A. then all attributes…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Figure 10-12 Price Supply External benefit Line 1 Quantity Refer to Figure 10-12. Which of the…
A: Externality leads to either overproduction or underproduction . And it is spillover effect of an…
Q: Discuss whether public health and the economy are complementary or competing goals in the pandemic.
A: COVID-19 is a very serious issue which world is facing these days. As it is a communicable disease,…
Q: Answers provided to the questions are helpful.Thanks alot. Kindly add more points to question 1(a)…
A: 1(a) As stated in the question, after COVID-19, there has been a steady increase in low-income…
Q: Q2: A company plans to update its equipment so that its trucks are replaced after ten years from…
A: Compound interest, also known as Interest on Interest, is interest that is added to the interest…
Q: Sustainable development would be best described as _________. a. Emphasizing the role of government…
A: Goals: 1. Economic growth: It aims at economic growth of the country through the means of…
Q: Germany is trying to lower its CO₂ emissions by phasing out coal-based electricity production…
A: Germany is trying to lower it's CO2 emissions by phasing out coal based electricity production…
Q: Q1: Calculate (PW) for annual payments (900$/year) if the first payment will deposit at the present…
A: Compound interest, also known as Interest on Interest, is interest that is added to the interest…
Q: In the economy of Ukzten in 2010, consumption was $3,000, exports were $400, GDP was $5,000, imports…
A: Government spending refers to money spent by the public sector on the acquisition of goods and…
Q: Drawing on theoretical arguments and empirical research, explain in detail the efficacy of the…
A: When a central bank's target nominal interest rate is less than zero percent, it is known as a…
Q: A. Expansionary fiscal policy encourages the increase in tax rates. B. Economic growth means…
A: In an economy, fiscal policy refers to the government's intervention at the marketplace by making…
Q: Supply & Demand Analysis Activity For each scenario, show how the curve of Supply and Demand will…
A: So the impact on each scenario will be different due to different problems. Below is the table…
Q: a. Both statements are TRUE b. 1st statement is TRUE, 2nd is FALSE c. Both statements are FALSE d.…
A: Production: It refers to the goods and services that have been produced in the economy. More…
Q: When a shortage exists in a market, sellers A, lower price, which decreases quantity demanded and…
A: Equilibrium in the market occurs at the intersection point of the demand and supply curve. At the…
Q: Question 49: Why is price discrimination disadvantageous for buyers but economically efficient for…
A: Price discrimination is a selling tactic that allows businesses to sell their products at varying…
Q: . Both statements are TRUE b. 1st statement is TRUE, 2nd is FALSE c. Both statements are FALSE d.…
A: The Sustainable Development Goals are a framework for a better, more sustainable future for…
Q: n Country Wise, households and firms want to keep a currency to deposit ratio, c, of 0.20, while…
A: The money multiplier measures the change in money supply due to a change in the monetary base. Money…
Q: 8. Consider a general equilibrium model with two commodities. The excess demand functions for the…
A: Given excess demand function E1=(2P1)-1(P1+2P2)-1 E2=(2P2)-1(P1+2P2)-2
Q: Consider a strictly concave and continuously differentiable utility function U(T1, T2) describing…
A:
Q: As the price elasticity of demand increases, what happens to the slope of the linear demand curve?…
A: The price elasticity of demand refers to the sensitivity of consumer's quantity demanded of a…
Q: The Affordable care act passed by the Obama Administration initially required all US taxpayers to…
A: The Affordable Care Act (ACA) is the program that was passed in 2010. Initially, it required all the…
Q: Based on a study, the Lorenz curves for the distribution of incomes for bankers and actuaries are…
A: Lorenz Curve function for Bankers: f(x) = (1/10)x+(9/10)x2 Lorenz Curve function for Actuaries:…
Q: Compare any two of the Foreign Exchange Market (b) Discuss at least two factors that businesses…
A: DISCLAIMER “Since you have asked multiple question, we will solve the first question for you. If…
Q: A. Nana Adjoa owns a photocopy shop at science. She started operating this business with 5…
A: When at least one of the factors of production is fixed, then the production process is said to be…
Q: The minimum wage is often offered as a possible way to address the income gap. There is, however, a…
A: Minimum wage is the lowest wage below which an employee cannot hire workers.
If the marginal product of capital is lower than the cost of capital, then
a. the value of q is low.
b. the profit rate is high.
c. value of q is high.
d. marginal propensity to consume is low.
Step by step
Solved in 2 steps
- D6) Finance With the economy in equilibrium, how are 1. firms’ total output (RGDP), 2. expenditures (C + I + G + NE), and 3. household income (wages, return on capital, rent, and profit) related?Which of the following situations represents investment? Saving? ExplainYour family takes out a mortgage and buys a new house. You use your paycheque to buy stock in Sagicor Financial Services.n a simple frugal economy the consumption function is C = 200 + 0.8Y, and exogenous desired investment is 100. Equilibrium aggregate output/income (Y*) for this economy is A) $1,000. B) $1,500. C) $800. D) $300.
- Draw a savings and investment graph. Explain the logic of why investment slopes down and savings slopes up.a)Distinguish between investment and capital, b) Explain the difference between an invention and an innovation. Give an example of each.During his first term, President Obama has increased government spending and cut taxes. For each variable state if it will INCREASE, DECREASE, or REMAIN UNCHANGED. In at least one complete sentence state WHY this change will occur. Be specific. Private Saving (Sp): Consumption: (C) Government Saving (Sg) Total Saving: (S) Real Interest Rates: (r) Investment: (I)
- What is the term "investment" define? Explain in a economic sense.1. If the MRPK is less than the cost of capital, a firm should increase its investment in physical capital. decrease its investment in physical capital. exit the industry. keep its investment in physical capital the same.#44. Tom buys a $5000 bond from XYZ Company. XYZ Company uses the $5000 to purchase a new piece of machinery. Whose spending would be an act of investment in the language of macroeconomics? a only Tom’s b Tom’s and XYZ Corporation’s c neither Tom’s nor XYZ Corporation’s d only XYZ Corporation’s
- A) :What is S if Y=200, AE=260, C=220 and I=40 in an imaginary economy?B) : If the disposable income is 200 and the consumption expenditure is 220 in an imaginary economy, what are the savings? C) University Café earned 20 TL by selling 10 bagels in one day. The total cost of 1 bagel is 0.5 TL. It is assumed that the cafe has no other costs. What is the firm's accounting profit?b. Explain the difference between saving and investment as defined by a macroeconomist. c. Which of the following situations in c (i) & c (ii) represent investment? Saving? Explain(i) Your family takes out a mortgage and buys a new house. (ii) You use your paycheque to buy stock in Sagicor Financial Services.Of means-tested programs and IRA’s, which lower the rate of return on saving? a. Both means-tested programs and IRA's. b. Means-tested programs, but not IRA's. c. IRA's but not means-tested programs. d. Neither means-tested program, or IRA's.