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8 views

The information in the table above shows a nondiscriminating monopolist’s demand schedule

The information in the table above shows a nondiscriminating monopolist’s demand schedule. Assume that MC is $230 and MC = ATC at all output levels. What is the monopolist's economic profit?
-1
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0answers
8 views

theory of cost in minimization of Ac and Avc

The minimization of Ac and AVC too get the critical values. The first derivate of AC is it 0? The second derivate of AC is it to be determined if it is positive or negative? Pls explain in ...
0
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0answers
6 views

Weakly Dependent Time Series | Common Error

I am watching a video, that mentions for the following time series: $x_t=\epsilon_t+\theta\epsilon_{t-1}$ $\textrm{Corr}(x_t,x_{t-1})≠0$ Then it mentions if we have anything greater then 1 such as $...
1
vote
0answers
20 views

Will the price of gasoline likely hit five dollars per gallon after the COVID-19 crisis is over?

I am wondering if it is likely that the price of gasoline will spike up to five dollars (or more) per gallon after the COVID-19 crisis is over because oil and gas companies will want to make up for ...
0
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0answers
10 views

How to derive and draw phase diagrams: Ramsey-Cass Koopmans model

I am confused by how to construct phase diagrams. For instance, I have been given the following two equations from the Ramsey model: \begin{align*} \frac{\dot C}{C}=&\frac{1}{\gamma} (F_K(K) - \...
3
votes
1answer
25 views

Does elasticity vary along the Demand/Supply curve or is it a summary statistic of a curve?

I know that the Demand curve has elastic and inelastic regions but when we say horizontal demand/supply curves are elastic or vertical curves are inelastic, in that case, does the elasticity still ...
2
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0answers
13 views

What is the economic sense in multiplying standard deviation by the root of the sample size?

I found an example when a so-called volatility index is calculated by multiplication of a sample standard deviation by the ...
0
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0answers
17 views

Are there any studies that examine the relationship between welfare spending and unemployment?

Basically I want to know if there are any studies that examine whether or not people on welfare are disincentivised to work, or if they are "trapped" by welfare.
0
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0answers
12 views

Why the treasury is buying back its treasury securities during the coronavirus economic crisis?

I have read today that the treasury of my home country (not the US) started to buy back a significant amount of its Treasury securities (bonds, notes ...) from their owners. My question is what ...
0
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0answers
15 views

what can shift the inelastic demand curve?

Will the inelastic demand curve shift to the right if income increase? What can cause a shift of the inelastic demand curve?
0
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3answers
37 views

Why does the nominal interest rate equal 25% in this problem, instead of 16.4%?

My reasoning: The nominal interest rate = the real interest rate + the expected inflation rate. We need to calculate the nominal interest rate. We know the expected inflation rate, so the only problem ...
2
votes
1answer
121 views

How does the Federal Reserve unwind the asset purchasing scheme announced in response to the 2020 Coronavirus Pandemic?

On Monday, 06 April, 2020 the Financial Times reported that the Federal Reserve balance sheet could increase to $9 trillion. This is partly due to the myriad of initiatives, some new, to protect the ...
0
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1answer
14 views

Effect of a depreciation on foreign interest rate?

According to the interest rate parity condition , if there is a depreciation of the domestic exchange rate, then the domestic interest rate will increase and the foreign interest rate will decrease. ...
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0answers
18 views
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0answers
18 views

econometric stata outputt [closed]

please help me, what is the answer , how can I calculate predict value
-2
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0answers
16 views

a quastion about INTERMEDIATE MICROECONOMICS course [closed]

choose the right answer The uniqueness of utility up to a monotonic transformation, it confirms that a. There is one utility function that can be used to represent the preference ordering. b. ...
-1
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0answers
14 views

Switching costs with consumers distributed along an interval [closed]

I have a question where consumers are distributed along an interval of [0,1]. In the first stage $K_1$ is chosen and this proportion of consumers who purchase from firm 1. In the second stage firm 2 ...
-3
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0answers
19 views

econometric stata output [closed]

help to answer b how can calculate CI
0
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0answers
20 views

How does the trade problem in Ricardian model of int'l trade work?

Sorry if this question seems fragmented; I have minimal background in economics, I just grabbed some notes and began studying. The scenario is given as: "Suppose Germany needs to make a 1 billion ...
1
vote
1answer
24 views

Inequality and Growth: the Role of Democracy

In the Alesina and Rodrik (1994) study on the impact of inequality on growth, why did they include a dummy for democracies in their empirical estimation? In other words, why did they want to study ...
-1
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0answers
21 views

Time preference model

There is the question: Imagine being in a prison and you can choose between two meal plan: (1) average equality every day, (2)excellent at the beginning, but with diminishing quality over time until ...
0
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0answers
19 views

Elasticity of substitution, marginal rate of substitution and price ratio

so there is a problem I do not know how to tackle: The is an utility maximisation problem and the solution to the Lagrangian leads to:$$\frac{C_1}{C_2}=(1+\rho)^\frac{1}{\sigma}(\frac{P_1}{P_2})^\...
0
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1answer
17 views

Risk neutral probability for each of 3 states

I need help to find the risk-neutral probability for states 1,2 and 3 I have two stocks: A and B. The price of A today is 180 and in a year it will be worth 288 (S1), 180 (S2) or 120 (S3); The ...
0
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0answers
17 views

Taxes on Family leave pay

I don't know if this is the correct forum for this question, but do we have to pay taxes on checks from the government that were paid from taxes in the first place. For example, like Social security ...
-2
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0answers
14 views

(Question) Immigration and Wage Equalization: Find wages after immigration wave? [closed]

Immigration and Wage Equalization: Suppose we have two cities: Miami and Atlanta. Individuals expect to live 10 years and face an interest rate of 0% per year. Workers in each city have a yearly ...
2
votes
1answer
46 views

Find value of $\beta$ for which there is a strictly dominant strategy

The question is as such: $N$ firms are lobbying for subsidies. Let $h_i$ be the number of hours spent by form $i$ for lobbying, with cost $wh_i^2$ where $w$ is a fixed constant. The subsidies granted ...
1
vote
1answer
38 views

What are the effects of a 12 month sudden stop/shutdown of a capitalistic economy like the US? [closed]

Consider a scenario where consumer confidence remains low until a virus such as COVID-19 is contained. In this scenario, containment is defined as being achieved once a vaccine is manufactured and ...
1
vote
2answers
42 views

Difference between a multiple regression and several linear regressions?

Context: I'm an undergrad who took Intermediate Econometrics more than a year ago and I'm trying to brush up on some of the skills. As I was reviewing multiple regression, I realized I didn't quite ...
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0answers
19 views

Advanced Macroeconomics complete solution needed [closed]

I need complete solution to this problem please. it's really urgent.
-1
votes
0answers
26 views

Why do real energy prices increase in recession [closed]

I always thought it was odd that coal prices grew massively in the great depression
2
votes
2answers
46 views

Clarification on amortization of constant payments

I have found this formula on wikipedia : $$P=C_k(1+i)^ {(n-k+1)}$$ which describe the constant payment that has to be paid every year ($C_k$ is the part of the initial loan that is extinguished with ...
0
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0answers
13 views

Are food coupons medium of exchange?

It's obvious that dollars are medium of exchange. Not so obvious with food coupons. For an example, there are food coupons that you can use to buy various kinds of food that are worth, say, 65 ...
-1
votes
0answers
12 views

Accounting how to record employee benefits? [closed]

Chen’s gross payroll for the week of August 15 was \$83,600. The company deducted \$4,230 for CPP, \$1,572 for EI, \$5,900 for pension, and \$16,700 for income tax from the employees’ pay. The ...
0
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0answers
16 views

Taking the partial derivative of the demand function

Define the demand function which maximizes x -> U(x) as: $\sum_{i=1}^n$$p_i$$\zeta_i$(p, I) = I According to my textbook if I differentiate this with respect to $p_j$ I will obtain, $\zeta_j$(p, ...
0
votes
1answer
14 views

Net exports term in aggregate expenditure

This might be a basic question, which I don't yet understand. The aggregate expenditure (i.e., in my understanding, the total amount of inflation factored (i.e. real) money spent in the economy by its ...
-2
votes
0answers
32 views

What are the necessary preconditions for a major economic collapse of western civilization due to the COVID-19 pandemic? [closed]

As evidenced by news and social media, the majority of the public seems to be operating on the belief that the COVID-19 is "going away soon". Why this notion is popular probably has a lot to do with ...
9
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2answers
180 views

Economics Online Seminars

As education moves to the internet, so are research seminars. Some of these seminars are regular and others appear to be temporary due to the covid-19 and the lockdown. Here are some examples from ...
0
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1answer
12 views

Endogenous Growth in the case of externalities (Learning by doing)

so for the Learning by doing model productivity is defined as $$A_t=BK_t$$. Inserting this into the optimum conditions leads us to the following:$$r_t=\alpha BL^{1-\alpha}$$ and $$w_t=(1-\alpha)B^{1-\...
2
votes
1answer
93 views

Typical Farming Economics Resource

Are there any resources available that provide typical books or accounts for the farming or indeed other industries? Something that would list, employee numbers, wage bills, expenditure income (sales ...
-2
votes
1answer
36 views

How to refute this conspiracy theory? [closed]

I've been having an argument with someone on a forum about the banking system. He's a bit of a conspiracy theorist, particularly in regard to the Federal Reserve, and asserts the following : The ...
2
votes
0answers
25 views

(Why) was von Neumann not a fan of the Nash equillibrium concept?

Charles A. Holt and Alvin E. Roth's The Nash equilibrium: A perspective notes: "In a personal communication with one of the authors, Nash notes that von Neumann was a “European gentleman” but was not ...
0
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0answers
7 views

How to Calculate Weighted average cost of capital (WACC) and Minimum attractive rate of return (MARR)?

If given salvage value is 0 and Depreciation is 4 years straight line. How do I calculate WACC and MARR from the given data (In Image)? Assuming actual dollar data (Including inflation) Is any data ...
0
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0answers
12 views

How does identical capital-output ratios imply identical rental prices of capital?

In the context of the Solow model, I need to show that if two countries have the same capital output ratio then they have the same rental prices of capital (they have same production functions). I ...
-3
votes
0answers
26 views

Preference to representation U (urgent) [closed]

Suppose that you know that a decision maker has a preference relation over the set of real numbers $[-100; 100]$, with a representation of the form $U(z) = b -(z - a)^2$, where $a, b$ are constants ...
-2
votes
0answers
12 views

how to solve the moral hazard problem

There are two types of individuals: high risk and low risk. Each starts with initial wealth 𝑊 but has a chance that an accident will reduce her wealth by 𝐿. The probability of this happens is 𝑝𝐿 ...
0
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0answers
17 views

Ramsey Model Market Clearing Condition

I have a problem understanding the market clearing condition for aggregated equilibrium in the Ramsey model. Market clearing implies that all resources are used up, hence: $Y_t=C_t+I_t$ , where $Y_t$ ...
-1
votes
0answers
28 views

Please help me see the holes in setting up an economy based on these rules:

The government can never give businesses currency. The government re/distributes a set amount of currency per period of time to each citizen. The only tax is a sales tax that must strive to ...
0
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1answer
20 views

Universal basic loan

I'm looking for feedback and critiques of an idea. Universal basic income is an increasingly popular idea, but most agree that it would be terrifically expensive. Assuming that the goal of UBI is to ...
1
vote
2answers
43 views

Python vs R (vs Stata): the old battle revisited

I am an avid Python user. I know Stata but I'm not a pro. I don't know R. I do econometrics (mostly time series, but also cross-section and panel), and statistics, and Python seems quite sufficient in ...
1
vote
1answer
18 views

Why do we need a restriction of a game to prove the given statement?

Consider a game $G$. We have to prove that is $s$ is a Nash Equilibrium of $G$, then it is also a Nash Equilibrium of the game formed by removing strictly dominated strategies of $G$. I looked at the ...

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