A. C. Whe, Suppose that a firm has a production function given by: q= 10 L^{0.4}K^{0.6}. The equation of exchange Consider a simple economy that produces only Find short-run equilibrium output. Question Velocity and the quantity equation Consider a simple economy that produces only cell phones. The table gives the number of suicides estimated in the U.S. for a recent year by age, race (black or white), and sex. 1. Is it true that in a short-run production process, the marginal cost curve eventually slopes upward because firms have to pay workers a higher wage rate as they produce more output? {/eq}. Suppose an economy producers three goods: Apples, oranges, and bananas. They have a total of 2000 crates of oranges. b.not change GDP, it changes the category under which the spending is counted. The unanticipated change in inflation arbitrarily benefits _______. The art dealer then sold all of the sculptures to art collectors for an average of $1,200 each. If the GDP deflator in 2012 has a value of 98.0, then. Learn about the inflation rate. c. costs and revenue. - opportunity costs. If the wage is $50/day, find the marginal cost of production. Economists tend to assume that a firm's production function is subject to increasing returns to scale, when the amount is small, and to decreasing returns to scale, when the output is large. C. If a company follows a policy of matching maturities, this means that it matches its use of common stock with its use of long-term debt as opposed to short-term debt. For example, in 2011, the money supply was $320, the price of a cell phone was $8.00, and the economy produced 600 cell phones. "If a recession is so severe that the price level declines, then we know that both real GDP and nominal GDP must decline." b. multiproduct firms will enjoy a cost advantage because they have the opportunity to divide their pool of worker, Consider three firms: firm A, a mining enterprise; firm B, a steelmaker; firm C, a car-maker. a. What will happen to the values of national income, personal income, and disposable personal income? Fill in the missing values in the following .
