Q: Explain how a firm can have constant returns to scale in production and economies of scale in cost.
A: Constant Returns to scale refers to the situation where with the change in the production, the cost…
Q: Name the following Refers to the situation in which the increase in the scale of the production give…
A: According to the given question Production in economic means that the process or the step which the…
Q: True/False? Discuss. If there weren’t diminishing marginal returns all the rice in the world could…
A: The law/fundamentals of Diminishing-Marginal-Returns (DMU) states that while working with fixed…
Q: Evaluate the view that having a business objective of increased economies of scale is always…
A: Economies of scale occur when the long-run average cost of the firm falls with an increase in the…
Q: Define the term Variable-cost behavior?
A: Variable cost is the cost that varies according to the level of output.
Q: A few sentences for the response please. How does the impact of fixed costs change production…
A: Fixed costs are amount of dollars expended on fixed factors of production such as land, building,…
Q: Identify and describe three examples of economies of scale and three examples of diseconomies of…
A: Companies benefit from economies of scale as their production becomes more productive. Economies of…
Q: Suppose a jar of DeLux popcorn that is ultimately sold to a customer at Loblaws Supermarket is…
A: Value added by loblaws supermarket is 1.50 $ (4 $ - 2.50 $) Delux popcorn added the greatest value…
Q: Q6. - a term referring to the fact that for many goods, as the level of production increases, the…
A: Taking each option one by one Skills: it is the specific or special way to do some work.…
Q: Define and explain the difference between economics of scale and economies of scope. Include an…
A: Definition: Economies of scale are cost-saving strategies in a production process by increasing the…
Q: Define the term Fixed-cost behavior?
A: A company mainly faces two type of costs known as fixed cost and variable cost. These two costs are…
Q: Is it true the statement that if average production cost is increasing, a firm’s technology exhibits…
A: In a two factor production function, the scale of production refers to the quantity of labour and…
Q: It is clear that businesses operate in the short run, but do they ever operate in the long run?…
A: When a business is established the main focus of the owner is to conquer the short-run functions and…
Q: Assume the average cost when producing 4 units is 10, the average cost of producing 6 units is 8,…
A: The table shows output and AC:
Q: Diminishing Marginal Returns” is achieved when?
A: The law of diminishing marginal returns states that adding an extra factor of production ends up in…
Q: Rather than have all the tasks in a production setting being done by the same person, but by…
A: In economics, the problem of scarcity which is universal in nature is studied and addressed. Because…
Q: Distinguish between accounting profit, economic profit, and normal profit. Does accounting profit…
A:
Q: The most efficient scale of production is where at which point?
A: According to the given question In simple words we can say that scale of production basically or…
Q: Why is having a business objective of increased economies of scale always desirable?
A: Economies of Scale in the Business World When it comes to economies of scale, the size of the…
Q: You are a manager of an advertising company. The company is running short of funds, so you decide to…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Is it possible to avoid Diminishing Marginal Return? Why? Explain
A: Law of diminishing returns postulates that as more units of a variable input are used with a fixed…
Q: INSTRUCTION: Give one example of a technopreneur, describe his/her business, and then explain what…
A: According to their areas of interest, different sorts of entrepreneurs operate their firms in…
Q: What are the different type of costs incurred in the short run and in the long run?
A: In the short run there are two types of costs, fixed and variable costs. Since there are fixed and…
Q: Using an example , explain the production proces
A: Economics as a subject deals with the allocation of scarce resources among humans with unlimited…
Q: Where average costs of production are lowest when all output is produced by a single firm
A: Average cost curve: It is a cost bend which is commonly U-shaped. Average variable cost (AVC) is…
Q: A firm is defined as a. a president, some vice presidents, and some employees. b. any organization…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: tate the law if Diminishing Returns. Give example.
A: Law of diminishing returns also known as law of variable proportion
Q: What is economies of scale? What are differences between internal and external economies of scale?
A: Economies of Scale: When a company expands its production then usually the cost per unit falls.…
Q: What is a cross-functional business process? Give one example of a cross-functional business…
A: Meaning of Cross-Functional Business Process: The term cross-functional business process refers to…
Q: Draw a well behaved production function and show the 3 stages of production. What distinguishes…
A: The production function shows the technical relationship between factor of production and final…
Q: True or false. In general, production can display diminishing returns in all variables but still…
A: Diminishing returns are defined as a decrease in output due to an increase in the input after an…
Q: 1.) If firms are rational, why is it they could underproduce or overproduce? 2.) What is the demand…
A: (Since you have posted a question with multiple sub parts, we will solve the first three sub parts…
Q: Complete the following table and answer the short discussion question Marginal Cost (MC) Total…
A: The total fixed cost (TFC) is the cost incurred when the output production is zero. Therefore, at…
Q: If b=0, what would happen to the total-cost and marginal-cost curves of C=C(Q)=aQ^3+bQ^2+cQ+d?
A: We are going to analyse the cost curve behavior to answer this question.
Q: te a topic on economies of scale, economies of scope, or learning curves.
A: Economy scale refers to changes within prices per unit because the range of units is multiplied. A…
Q: What economic principle explains why average variable costs and marginal costs initialy decrease as…
A: A U-shaped curve represents the average variable cost function. Initially, as output increases, the…
Q: You own a company that produces widgets. You currently produce 100 widgets; each widget sells for…
A: Macroeconomics and microeconomics are important part of country mechanism. Aggregate demand and…
Q: Why does INCREASING COST CONDITION is the best while DECREASING COST CONDITION is worst?
A: Total cost: The term total cost encompasses fixed costs and variable costs. here, the fixed cost…
Q: In the short run, if a firm chooses to operate and produce output, it must be the case that
A: The shutdown point of a firm comes when the price of the goods sold is less than the variable cost…
Q: Galaxy manufactures two dolls: Mary and Joan. It has 400 hours of production time per week and…
A: The term ‘constraint’ means ‘limitation’ or ‘setback’. While producing a commodity(G), the…
Q: State one potential positive consequence and one potential negative consequence of MOORE'S LAW for a…
A: Gordon Moore's Law states that the number of transistors on a microchip doubles every two years…
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- I need help with econ multiple hw questions asap! 74) What is the main social problem caused by monopoly? A. excessive monopoly profits B. an inefficiently low quantity of output C. an inefficiently high value of marginal cost D. excessive producer surplus 73)Alexi and Tony own a food truck together that serves only two items, street tacos and Cuban sandwiches. Some customers purchase both goods together; therefore, they will always produce both goods. 480- Alexi and Tony can sell all the street tacos and Cuban sandwiches that they are able to produce, and will split the revenue equally. 400 Output Per Hour Street Cuban 320- Tacos Sandwiches Alexi 20 100 a 240- Tony 60 30 160 Alexi's opportunity cost of producing one taco is 5 Cuban sandwiches. (Round your response to two decimal places.) Tony's opportunity cost of producing one taco is 0.5 Cuban sandwiches. (Round your response to two decimal places.) 80- PPF 1o00 800 1200 1600 2000 2400 2800 Cuban sandwiches Alexi has a comparative advantage in the production of Cuban sandwiches 0- 400 Tony has a comparative advantage in the production of street tacos. Assume that Alexi works 20 hours per week in the business. Further assume that Alexi devoted half of his time (10 of the 20 hours) to…With current technology, suppose a firm is producing 400 loaves of banana bread dally. Also assume that the least-cost combination of resources for producing those loaves is 10 units of labor, 7 units of land, 2 units of capital, and 1 unit of entrepreneurial ability, selling at prices of $20, $60, $60, and $20, respectively. Assume the firm can sell these 400 loaves at $2 per unit. Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. What is the firm's total revenue? What is its total cost? Calculate the amount of economic profit or loss. will R continue to produce banana bread? IClen to select If this firm's situation is typical for the other makers of banana bread, will resources flow toward or away from this bakery good? IClick to selectt
- With current technology, suppose a firm is producing 400 loaves of banana bread daily. Also assume that the least-cost combination of resources for producing those loaves is 5 units of labor, 7 units of land, 2 units of capital, and 1 unit of entrepreneurial ability, selling at prices of $40, $60, $60, and $20, respectively. Assume the firm can sell these 400 loaves at $2 per unit. Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. What is the firm's total revenue? What is its total cost? 2$ Calculate the amount of economic profit or loss. 2$ Will it continue to produce banana bread? (Click to select) ♥ If this firm's situation is typical for the other makers of banana bread, will resources flow toward or away from this bakery good? (Click to select) ♥QUESTION 31Patents, copyrights, and trademarks establish ownership rights over what type of property?IntellectualRealTangibleNon-performingStolen QUESTION 32Which of the following statements is true about most Western societies?In Western societies social groups, rather than individuals, are the basic building blocks of social organization.The value systems of many Western societies emphasize individual achievement.In Western societies, the social standing of individuals is merely a function of who they work for.The emphasis on individuals in Western societies has led to a low level of entrepreneurial activity.It is easier to build and manage teams within organizations in Western societies. QUESTION 33Which of the following helps a firm to preempt available demand, gain cost advantages related to volume, and build an enduring brand ahead of later competitors?Monopolistic practicesComparative advantagesAbsolute advantagesFirst-mover advantagesMercantilism QUESTION 34Which products are…9. A Suppose another economy has two goods: iron and copper. The production of one unit of iron requires 0.1 units of iron and 0.2 units of copper. The production of one unit of copper requires 0.8 units of iron and 0.6 units of copper. What is the demand met by producing 50 units of iron and 40 units of copper? B. Using the same technology matrix as the previous problem, find the production schedule required to meet a demand of 200 units of iron and 100 units of copper.
- 7 4. Profesör Çabuk homotetik bir fonksiyonu γ’ıncı dereceden homojen bir fonksiyonun monotonik artan bir fonksiyonu olarak tanımlamaktadır. Profesör Varian ise homotetik bir fonksiyonu birinci dereceden homojen bir fonksiyonun monotonik artan bir fonksiyonu olarak tanımlamaktadır. Hangisi doğrudur ve niçin?Question 25: Invention Capitalist You are a government official given the task of spending $1 billion to encourage the devel- opment of a drug to slow the progress of Alzheimer's disease. Furthermore, the money has to also help make the drug affordable to the thousands of poor senior citizens who are Medicare recipients but also currently suffer from Alzheimer's disease. You have three choices available to you: 1. Distribute the $1 billion in grants among all firms that engage in Research and Development of an anti-Alzheimer's drug. No patents will be awarded. 2. Award cash prizes (a $500 million prize to the first firm that come up with a successful drug, $300 million to the second firm, $200 million to the third firm) that comes up with a new drug. Once again, no patent will be awarded. 3. Award a patent to each firm that develops a successful, unique drug, and use the $1 billion to help Medicare patients buy the drug. Briefly discuss the pros and cons of each approach and discuss…2. Compare and Contrast. Identify two modes of doing the same thing where one involves a more technologically advanced method. Example would be snail mail vs. e-mail. List down as many examples. Brainstorm with a partner if a less technologically sophisticated mechanism can actually turn out to be better in terms of reaching for the good life. Is the more technologically advanced always better?
- Production possibilities for two producers and merchants, Eric and Stan, are shown in the table below. Suppose both Eric and Stan are initially independent producers. Eric is producing 160 loaves of bread and 20 logs of wood. Stan is producing 120 logs of wood and 30 loaves of bread. Eric's Production Possibilities (monthly) Bread (loaves) Wood (logs) Stan's Production Possibilities (monthly) Bread (loaves) Wood (logs) 200 0 150 0 160 20 120 30 120 40 90 60 80 60 60 90 40 0 80 100 30 0 120 150 Eric and Stan are considering an arrangement of specialization and trade. If they specialize according to comparative advantage and agree on a trade of 30 loaves of bread for 20 logs of wood, then OA. Eric will have the same number of loaves of bread, but he will have more logs of wood. OB. Stan will have the same number of logs of wood, but he will have more loaves of bread. OC. Stan will produce 150 logs of wood, keep 130, and trade 20 to Eric in exchange for 30 loaves of bread. OD. Eric will…What are the definitions of the following economic principles and give 1 brief example each: - scarcity principle? - cost-benefit principle? - principle of unequal cost? - principle of comparative advantage? - principle of increasing opportunity cost? - equilibrium principle? - efficiency principle?Production possibilities for two producers and merchants, Eric and Stan, are shown in the table below. Suppose both Eric and Stan are initially independent producers. Eric is producing 240 loaves of bread and 30 logs of wood. Stan is producing 180 logs of wood and 45 loaves of bread. Eric's Production Possibilities (monthly) Bread (loaves) Stan's Production Possibilities (monthly) Bread (loaves) Wood (logs) Wood (logs) 300 225 240 30 180 45 180 60 135 90 120 90 90 135 60 120 45 180 150 225 Eric and Stan are considering an arrangement of specialization and trade. If they specialize according to comparative advantage and agree on a trade of 45 loaves of bread for 30 logs of wood, then O A. Stan will produce 225 logs of wood, keep 135, and trade 90 to Eric in exchange for 120 loaves of bread. B. Eric will have the same number of logs of wood as he did initially, but he will have more loaves of bread. O C. Stan will have the same number of logs of wood, but he will have more loaves of…