(i)Use the knowledge of economics to discuss factors to analyse factors that affect people’s’ decision to work. (ii) When is the firm operating in the short run and when does it operate in the long run?  (iii) Discuss the factor(s) that determine how many workers the firm wishes to hire in the long run.

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A: Supply of labor shows how much labor is supplied at different wage rates.

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A: Intertemporal Choice refers to the concept of what and how much to consume and save at various…

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A: Price relativity describes the relationship between a good or service's price in one era and that…

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A: A price ceiling is a government-imposed price limit of how high a price can be charged by the…

Q: How do marginal control costs of pollution and the marginal damage costs of pollution change as…

A: The cost of implementing a policy or action to reduce the level of a negative externality, such as…

Q: If inflation has been running at 4.83% per year and a new car costs $10,400 today, what would it…

A: Inflation occurs when the price rises. Price increases as number of years increase, this is known as…

Q: Figure 11-4 b. OD C. OB d. OC MC Medicaid Payment D-AR-P (Private Patients) A B C Q MR (Private…

A: The economic notion of marginal revenue (MR) is used by firms to maximise profits. In related to…

Q: The Utility fct is U = W2/3 + 1000 Flood occurs with Probabilities=1/20. The Value of house $540,000…

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Q: In detail explain the role of the Government and the Central Bank to address the economic recession…

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Q: Countries X and Z produce a composite output Y by employing two factors labor (N) and capital (K),…

A: From the given problem functions , we will find the combined growth rate of progress in both the…

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A: Given that: O1 + O2 = 1000 (or) O2 = 1000 - O1   MP01 = 850 - O1 MP02 = 2100 - 2O2

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Q: Collusion:  Why is it profitable, but hard to maintain?

A: refers to a secret or illegal cooperation between two or more entities, usually businesses or…

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Q: In class video we discussed ways for firms to break the Bertrand Paradox result. Which of the…

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Q: If inflation is less than expected, who benefits – borrowers or lenders? Explain your answer.

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Q: your answer. 2. The utility function of a consumer over two goods x and y is given by u(x, y) = 20…

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Q: This exercise examines the effect of a excellent harvest in Missouri on the price of soybeans in the…

A: There is an excellent harvest in Missouri.  Missouri is famous for soybeans production.…

Q: 1.) Suppose you have 5 identical Bertrand (price-competing) firms with MC for each equal to $10. The…

A: Bertrand Duopoly model: This is an oligopoly model where 2 firms compete in the market. Here both…

Q: address the problem of an economic recession caused by high inflation, governments and central banks

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Q: 7. A risk-neutral principal hires an agent to work on a project at wage w. The agent's utility…

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Q: 32. An economy is currently producing above Potential Output. An Increase in the Money Supply will:…

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A: A macroeconomic model known as the AS-AD model illustrates how changes in aggregate supply (AS) and…

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A: Monopolistic competition is one type of market condition where many sellers face the market demand…

Q: Chapter 20: Unemployment Page 656 20.2. What can we learn from the employment data? Based on recent…

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A: Per capita income is the Total income of the economy divided by the total population. It helps in…