Why does adding capital to a production function make the economy more productive? What are diminishing returns to capital? How does technology affect productivity and growth?

Q: Determine which of the tools are available to the U.S. Federal Reserve Bank (the Fed) and which are…

A: A central bank is an important part of a country's economy since it implements monetary policy to…

Q: Q1: Refer to the information provided in Table below to answer the questions that follow Billions 20…

A: GDP refers that Gross domestic production which means the total value of all final goods and…

Q: Refer to the table to the right. Over what range of prices is the demand price inelastic? OA over…

A: Price Elasticity- The price elasticity for a good tells how sensitively it's quantity demand…

Q: Nike and Adidas face the following coordination problem in trying to decide whether to conduct heavy…

A: Pure strategy Nash equilibrium refers to a strategy from which each player receives the maximum…

Q: A local restaurateur who had been running a profitable business for many years recently purchased a…

A: A sunk cost is a cost that has already been incurred and cannot be recovered. It is a cost that has…

Q: 3. Suppose the total cost of q units produced by an increasing-cost industry is given by C(q) =q²…

A: Total cost function: C(q) = q2 + 8q The function of aggregate willingness to pay: WTP(q) = 100q -…

Q: Show (with supply/demand) and explain how this law will affect the market for condoms.   Show…

A: A market equilibrium price and quantity is defined as the point in a market where the quantity…

Q: Review the three scenarios below. Look for which, if any, of these scenarios presents an example of…

A: A post-investment holdup occurs when one party in an agreement makes particular investments required…

Q: 13 2.) Suppose that a firm in a competitive market has the following cost curves: Price 12 11 10 9 8…

A: Total revenue is the total value of the commodities produced and sold in equilibrium. Economic costs…

Q: Now suppose that United and American play this game for an indeterminate number of periods so that…

A: United     High Price Low price American High Price Present-$20 & $20 in every…

Q: Qs = 5P² + 200 in bottles and prices are r

A: Market Equilibrium: Market equilibrium is a situation where the QD is equal to the QS at the given…

Q: What is an arbitrage opportunity? Discuss using an example (of your choice) and explain how  an…

A: An arbitrage opportunity is a situation in which an investor can make a risk-free profit by means of…

Q: 9. Explain and contrast the role of uncertainty and expectations in Keynesian and neoclassical…

A: ***Since the student has posted multiple questions, hence, the expert is required to solve only the…

Q: Mary has been out of the paid workforce in order to raise her children. Now she decides to do paid…

A: A person is defined as a person who is of working age and is willing and able to work but could not…

Q: Suppose the demand function given in question 2 is the aggregate demand of two consumers, person 1…

A: q₁ = 80 - 2p q₂ = 120 - 3p Type 1 consumers demand is  2/5 of total demand and Type 2 consumers…

Q: If the bank posts a nominal interest rate of 7 per cent per year and the inflation rate is 5 per…

A: Nominal Interest Rate: It is the rate at which an investment will grow before accounting for…

Q: Read the following statements and then answer the question that follows. Economics concerns itself…

A: Modern economics is the social study of an economy's resource management and efficient allocation.…

Q: Period WT 1992 1993 1904 1995 1000 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009…

A: Formula for the compound annual growth rate is given as. It is used to calculate the average annual…

Q: Levinn’s utility function is expressed as the following: U= C1 C2 0.3 where C1 is his first period…

A: This question pertains to inter temporal choice in applied economics and requires the application of…

Q: If the profit-maximizing operate at output level Q4, then: Cost and Revenue($) Pa P2 a P₁ Po…

A: Monopoly is the single firm in the market. It faces no competition from other firms.

Q: A farmer produces both green beans and corn. The farmer must give up 31 bushels of corn to get 7…

A: The Marginal Rate of Transformation (MRT) is a concept in economics that measures the rate at which…

Q: based on the information in the table and your cxalculations for question #1 and anycountries have a…

A: Net exports are the difference between export and import.  i.e., Net export = Export - Import.

Q: 7. Suppose that the inverse market demand for pumpkins is given by P= $10-0.050. Pumpkins can be…

A: In economics, a competitive equilibrium refers to a state of balance in a market where the quantity…

Q: Every year, management and labor renegotiate a new employment contract by sending their proposals to…

A: Nash equilibrium is the point of a game corresponding to which each participant optimizes his…

Q: 12) Based on the information in the table, we can conclude that, in 1932, each of the follow…

A: Banking crises occur when a large number of banks or financial institutions experience substantial…

Q: A US based exporter sells US made goods in UK. The revenue last year was £1,000. The cost of goods…

A: Exchange rate is the rate at which the currency of one country is traded for the currency of other…

Q: 1. What are the Five most common Types of Taxes? Give Examples.

A: Tax alludes to a mandatory financial charge or duty forced by an administration on people or…

Q: 10. Explain why three different equilibrium conditions are simultaneously necessary for overall…

A: “Since you have posted multiple questions, we will provide the solution only to the specified…

Q: [A] For this question, assume that the market for family physicians is perfectly competitive. To…

A: Since you have posted multiple questions, we will provide the solution to only the first question as…

Q: suppose the required reserve ratio is 11%. How much additional money can BBB lend out at a maximum?…

A: Required reserves refer to the amount of funds that a bank must hold in reserve against its deposits…

Q: A movie monopolist sells to college students and other adults. The demand function for students is Q…

A: The practice of charging different prices to different consumers for the same product or service,…

Q: 1. In the first case, if s1 + s2 > 10, both players get zero. What are the (pure strategy) Nash…

A: A pure strategy Nash equilibrium is a scenario in a game in which each player has chosen a plan of…

Q: The Competitive Equilibrium. TC = 1600 + 4Q². Consider a competitive firm with the cost functic a.…

A: TC = 1600 + 4Q2

Q: What is inflation and the type of inflation.

A: Inflation refers to a sustained increase in the general price level of goods and services in an…

Q: In a simple frugal economy, if there are unplanned depletions of inventory, then the economy's…

A: An economic model that assumes a fundamental economic system with no saving or investment is a…

Q: How much higher education would we expect to be produced in the free market?

A: Free market quantity of higher education is determined at the intersection of supply and private…

Q: Union representing employees with specifc skills in an industry   A. craft union   B. industrial…

A: A union is an organisation of workers who work in the same field. The union looks after the…

Q: Would the Federal Reserve INCREASE or DECREASE the nation’s money supply during a period of…

A: ***Since the student has posted multiple questions, the expert is required to solve only the first…

Q: True / False / Uncertain type questions 1. If a company applies strategy "take 3 and pay 2", then…

A: A pricing strategy in which a corporation charges varying prices for the same item or service based…

Q: to be awam to be awan alue of X th es)

A: When deciding on uncertain incomes from payoff strategies, consumers look at the concerned risks.…

Q: Nora's demand function for good x is x* = 2Px - 1. Her wealth is $100 and the price of good x is $5.…

A: Given Nora's demand function for good X x*=w2Px-1 Nora's wealth w =$100 Price of good x =$5 To…

Q: Here is the 2021 revenue for the largest platforms in the social media market. Facebook owns…

A: We know well that to calculate the concentration ratio of an industry, we need to sum up the value…

Q: Detail the workings of the New Keynesian Dynamic Stochastic Equilibrium model.

A: The New Keynesian Dynamic Stochastic Equilibrium (DSGE) model is a general equilibrium model,…

Q: Capital is a human factors. True False

A: In economics, the expression "human factor" alludes to the qualities and abilities information of…

Q: 1. Unemployment is an equally serious problem for developed as well as developing economics. Please…

A: Unemployment is a serious problem for both developed and developing economies due to its negative…

Q: Assume there are no taxes.  A household with subsistence level of consumption equal to $200 saves…

A: Aggregate demand is the sum of Consumption, Investment , government spending and net export.…

Q: Under the simple conditions spelled out in class, if a bond is to pay off $115 in exactly one year…

A: Present value is the value of investment in today's dollar.  Future value is the value of investment…

Q: Consider the local cable company, a natural monopoly. The following graph shows the monthly demand…

A: A monopoly refers to that market scenario which consists of a single seller and the optimal…

Q: Reference Figure 3. Assume that this is a monopolist. Assume price = P1 and output = Q2. Which of…

A: As the profit maximizing condition for the monopolist is : MR = MC The industry would face…