Describe a workers labor-leisure choice associated
Describe a worker's labor-leisure choice associated with a wage decrease (assuming non labor income does not change). Demonstrate the income and the substitution effect associated this wage change on an appropriate graph.
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Briefly describe the theory of reciprocal demand. Discuss how does it provide a meaningful explanation of the international term of trade?
Explain what factors give rise to increasing returns to scale and decreasing returns to scale? Describe and then derive the expression for the marginal rate of technical substitution.
Suppose you buy only bananas and apples. Your budget is such that you can purchase three apples and four bananas or nine apples and two bananas.
Determine what is meant by the international competitiveness? Discuss how does this concept apply to an industry, a firm and a nation?
Assume that Apple first announces a quantity of iPhones, then Verizon announces a price for data plans, then Apple announces a price for iPhones.
Determine the primary reason that economists view monopolies as a problem? Is this different than you would have expected? Discuss what methods are available to mitigate the impact of monopolies?
Customers who buy on credit pay an effective annual interest rate of 16.1% at the Central Furniture Company, based on the monthly compounding, determine the nominal annual interest rate that they pay?
What would be the new price and quantity of hotel rooms actually traded if a price ceiling of $150per month were instituted in the city of Boston?
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