Suppose labor is available to a firm at a cost of $12 per hour. Also suppose that employing another hour of labor adds 5 units to output and that any amount of output can be sold for $10 per unit. An additional hour of labor would add $50 in additional revenue to the firm. (Enter your response as a whole numer.) This firm should hire ▼labor.
Q: A market has four individuals, each considering buying á grill. As a grill-master, and finds a grill…
A: The issue you raised has to do with market pricing and consumer surplus in the context of…
Q: In one year, you meet 52 people who are each unemployed for one week and eight people who are each…
A: The unemployment rate is a figure showing the part of workers who are hunting for jobs but don't…
Q: In the following problem, assume that the UK currency is the pound sterling (PST) and the currency…
A: If the pound sterling (PST) appreciates relative to the euro (EUR), it means that the PST can buy…
Q: In the used car market with warranties, the equilibrium is a _____ and there is A.) pooling…
A: Equilibrium refers to the market condition at which the quantity demanded is equal to the quantity…
Q: Each worker may become less productive as population increases because of ... Market failures…
A: This can be described as a concept that shows when an individual, firm, or any entity uses an…
Q: a. The overall price level increased 50% from the year 2018 to 2019 in the country, and the price…
A: CPI is a broadly used monetary indicator that measures modifications in the avg. price paid through…
Q: The table below shows the marginal revenue and costs for a monopolist. Demand, Costs, and Revenues…
A: The monopoly refers to a market where only one firm exists. A firm is a price maker, and it can earn…
Q: Using the graph, complete the table that follows by indicating whether each statement is true or…
A: In the language of economics, "demand" is the amount of an item or service that buyers are willing…
Q: Roughly $39 billion in manufacturing incentives for chip plants known as fabs, as well as material…
A: Disclaimer: Since you have provided so many subpart of a question I am allowed only to solve the 1st…
Q: Find the revenue deficit if the Revenue Expenditure is $800 and the Revenue receipts is $200 ?
A: All budget expenditures and receipts are classified into two accounts. i) Revenue accountii) Capital…
Q: The figure depicts a supply-of-loanable-funds curve and two demand-for-loanable- funds curves.…
A: Loanable funds are those available for borrowing or lending in markets or banks. These funds are…
Q: The figure above shows the log of UK real GDP per capita between 1875 and 1914. Which of the…
A: The term GDP represents "Gross Domestic Product." It is a crucial economic metric for evaluating the…
Q: Given the preceding graph and knowing the price of an Americano is $4, Beth's available income for…
A: Given:- Beth consumes two goods Danish and Americano. Now it is also given that the price of…
Q: Assume that individuals hold no cash and banks hold no excess reserves. The Federal Reserve buys…
A: The United States central bank known as the Federal Reserve that regulates monetary policy. It is…
Q: 2. Please go as much as you can to characterize the balanced growth path for the following economy:…
A: A balanced growth path is a steady state in which all economic variables grow at the same constant…
Q: The following table pertains to Wrexington, an economy in which the typical consumer's basket…
A: CPI stands for Consumer Price Index. It is a measure that tracks the average change over time in the…
Q: In Figure 12-3, one can tell from the graph that the monopolist will earn a positive profit only if…
A: A single seller in the market for goods is called a monopoly market. The marginal revenue is the…
Q: In the figure to the right, suppose that We is a wage rate of $28 per hour and W₁ is a wage rate of…
A: A wage rate, often simply referred to as "wage," is the amount of money paid to an employee for…
Q: Imagine a duopoly in which two firms, A and B, produce the monopoly profit-maximizing output and…
A: This can be defined as the most effective and efficient form of market in which no single producer…
Q: The following excerpt is from a letter sent to a financial advice columnist: "My wife and I are…
A: A mortgage is one kind of financing that is regularly used for buying real estate. To purchase the…
Q: What economic policies have impacted the quality of healthcare and access to healthcare…
A: Healthcare, every now and again created as "health care," refers the planned undertakings, services,…
Q: A new manufacturing facility will produce two products, each of which requires a drilling operation…
A: The equivalent annual cost represents the annual cost of a project or investment over its entire…
Q: 2. The roles of money Lorenzo wants to purchase a new computer and go to the Caribbean for spring…
A: Money is widely accepted transaction prices that hold value over a time period. The value of money…
Q: Under the classical dichotomy, which of the following does not determine real GDP in the long run?…
A: Gross domestic product refers to the final value of all goods and services produced in a territory…
Q: Use the following graph to answer the next question. y A B C K MC ATC AVC To maximize profits, the…
A: In perfect competition, There exists a large number of buyers and sellers. The firm will produce…
Q: On the following graph, use the blue points (circle symbol) to graph the fisherman's production…
A: The hours required for the production of a certain quantity of fish is given as follows.…
Q: Ryan offers to bet Kristin that if a six-sided die comes up with one or two dots showing, he will…
A: Probability expresses the possibility of several outcomes in a particular scenario or occurrence. It…
Q: 3. Profit maximization using total cost and total revenue curves Suppose Jayden operates a…
A: Marginal cost can be described as how much more utility a buyer receives from an additional unit…
Q: The table to the right gives the employment share of four industries within the three regions of a…
A: Tradable industries are those whose goods and services can be exported or imported, meaning they…
Q: The monthly demand function for a product sold by a monopoly is p = 2,232 dollars, and the average…
A: Profits, in an economic and business context, refer to the financial gains or earnings that a…
Q: Suppose you are the marketing manager for Fruit of the Loom. An individual's inverse demand for…
A: Demand is the quantity of commodity that a consumer is willing and able to buy, at each possible…
Q: The demand for your product X has been estimated to be QX = 7, 880 − 4PX − 2PY + PZ − 0.1M where Y…
A:
Q: xplain intuitively what will happen to the amount of output produced in an economy, the real wage…
A: A real wage basically alludes to the wage or salary procured by a worker in the wake of adapting to…
Q: Pat's Pizza Kitchen has the following total cost schedule. Output (pizzas per hour) Total cost…
A: DISCLAIMER “Since you have asked multiple questions, we will solve the first three questions for…
Q: Question 41 Problem 1 d: Which of the following statements about the Monetary Policy Tools is…
A: Monetary policy alludes to the arrangement of activities and measures executed by a country's…
Q: 13. The variety of supply curves The following graph displays four supply curves (HH, II, 3), and…
A: Elasticity is defined as the responsiveness to change in one variable. When changes in price will…
Q: 4. Is monopolistic competition efficient? Suppose that a firm produces wooden train engines in a…
A: When there are numerous companies selling similar but distinct products in a given market,…
Q: Suppose that real GDP is currently $13.3 trillion and potential real GDP is $14.0 trillion, or a gap…
A: The current GDP is $13.3 trillion.The potential GDP is $14.0 trillion. There is a gap of $700…
Q: You are considering opening a pizza restaurant in your town. Describe the production process that…
A: A supply chain is the network of organizations, people, activities, information, and resources…
Q: Which of the following would shift long-run aggregate supply to the right? a. increased immigration…
A: The total supply of goods and services produced in an economy within an aspect time period is called…
Q: Use the following consumption schedule to answer the next question. At income level 3, the amount of…
A: There are two curves provided in a (Income - Consumption ) plane , which are to be identified as…
Q: By using the expected utility theory approach with u(x)=x2, choose the optimal decision for three…
A: Expected Utility Theory is a decision-making approach used in economics to make decisions that takes…
Q: Consider two markets for the same good: markets 1 and 2. The demand for the good on these markets…
A: In a perfectly competitive industry, the price equals the marginal cost (MC).The total cost function…
Q: Decisons for Tomorrow Identify the following policies as either fiscal, monetary, supply-side, or…
A: Aggrеgatе dеmand (AD) and aggrеgatе supply (AS) arе kеy concеpts in macroеconomics. AD rеprеsеnts…
Q: When a good is taxed: a. both buyers and sellers of the good are made worse off. b. only buyers are…
A: Tax burden refers to the financial value or incidence of a tax on individuals, businesses, or…
Q: Ty grows pumpkins. When Ty leases 1 field for $60 a day and capital for $40 a day, his average total…
A: Total cost shows the total cost incurred on the production of a good. Total cost includes fixed cost…
Q: Investment spending in macroeconomics refers to: adding to productive capital and changes to…
A: Investment spending in macroeconomics refers to option 1) adding to productive capital and changes…
Q: Question 39 Suppose that the market for labor is initially in equilibrium. An increase in worker…
A: Equilibrium refers to the situation in the market when quantity demanded of labour equals to the…
Q: Scenario 16-6 Ike's Ice Cream has decided to open a new ice cream parlor in Mayville, MS. The market…
A: Monopolistic competition involves many firms offering differentiated products, engaging in non-price…
Q: Price per gallon Quantity demanded (gallons) Quantity supplied (gallons) 1 700 300 2 600 400…
A: External cost is a cost that imposed on a third party who is neither part of consumption nor of…
Unlock instant AI solutions
Tap the button
to generate a solution
Click the button to generate
a solution
- PRICE (Dollars per tracker) 30 80 70 60 ATC 20 AVC MC 10 0 0 10 20 30 40 50 60 70 80 90 100 QUANTITY (Thousands of trackers per day) In the short run, given a market price equal to $45 per tracker, the firm should produce a daily quantity of trackers. On the preceding graph, use the blue rectangle (circle symbols) to fill in the area that represents profit or loss of the firm given the market price of $45 and the quantity of production from your previous answer. Note: In the following question, enter a positive number regardless of whether the firm earns a profit or incurs a loss. The rectangular area represents a short-run of $ thousand per day for the firm.6. Each of the 10 firms has the production function q = √KL. The wage is 5 and the rent on capital is 10. Assume we are in the long run, so firms can vary both factors. Write an expression for one firm's cost minimization problem. Use whichever method you prefer to minimize cost and derive an expression for one firm's total cost: TC (9₁) c. Compute one firm's marginal cost and derive the inverse supply curve for one firm and the inverse supply curve for the market. What is the elasticity of supply? a. b.Suppose that hiring a third worker at the campus coffee shop increases output from $100 per hour to $150 per hour. What is the marginal revenue product (of labor) per hour from adding that third worker? Instructions: Enter your answer as a whole number. +A
- Plz give answer ASAP. A price taking firm has the production function, q = f(l) = √ l where q is the output and l is the labor input. The price of labor input or wage is equal to $ 5, the output price is given by p, and the fixed cost is $80. a. Find the prices at which the firm makes a positive profit, and graph the prices along the curve, Hint find the profit function (SOLVE) b. Find the firm’s supply curve. (chek if correct) Q^2 = L TC or C(q) = wl = wq^2 The level of output wich firm maximizes profit is firms supply function We know profit function = pq – wq^2 dπ/dq = p – 2wq =0 p=2wq q(p,w) = p/2w thus supply function q=p/2w c. When p=10, since the firm makes a negative profit, it is better not to produce. True or False? Explain Hint part (a) we found positive values use (a) to demonstrate (SOLVE)A firm produces output according to the production function . If it sells its output in a perfectly competitive market at a price of 10, and if K is fixed at 4 units, what is this firm’s short run demand function for labor? (Remember profit maximizing labor demand).Complete the following table: Assuming the price of capital (k) is $4 and the price of labor (L) is $6, and the price of commodity (Q) is $2. A) What production technique should this firm use? Technique Q K TR TC Profit(n) A. 40 9. 40 8. 6. 40 4 D 40 11 E 40 1. 9. F 40 11
- 2. Suppose the hourly wage is $10 and the price of each unit of capital is $25. The price of output is constant at $50 per unit. The production function is f(E, K) = E'/²K'/2. (a) Write a firm's short-run profit maximization problem. (b) Find a firm's marginal product of labor MP(E). (c) Find the second order condition and derive the labor demand function (i.e. An increase in wage decreases the number of workers hired). (d) If the current capital is fixed at 1,600 units, how much labor should the firm employ in the short run? (e) How much profit will the firm earn?12. If the demand function for a product is p = 100 – 2x where is price in dollars and x is the number of units sold, and the average cost function for a product is C(x) = 100 +4 where x is the number of units sold and C is dollars per unit, what is the maximum profit? Answer and Work Explanation of WorkThe expansion path of a firm gives five different quantities of output such as 10,20,30,40 and 50 units; and the price of labor is $25 and the price of capital is $100 per unit. The table shows the long-run costs of the firm at given quantities of output. Q L K LTC( $) LAC( $) LMC ($) 10 64 20 3600 360 360 20 120 40 7000 350 340 30 200 58 10800 360 380 40 288 80 15200 380 440 50 440 90 20000 400 480 a. With the help of graph, analyze the properties of LAC and LMC b. Interpret and evaluate the numerical and graphical data and illustrate the relationship between LAC and LMC
- True or false and explain Suppose a firm’s marginal product of labour is MPL = 10/L, where L is measured in labour hours, the price of the product is $600, and the cost per hour of labour is $30. The firm currently employs 150 labour hours. In order to maximize the firm’s profits in the short run, the manager should increase its labour employment by 40 labour hours.New taskFor a producer under complete competition, the following production function applies. Q = F (K, L) = KL where Q is the size of production, K is the size of the capital investment and L is the amount of labor. Assume that the price of capital, r, is 5 and that the salary, w, is 10. a) Assume initially that the capital is locked at 4 units. How much labor will the producer use to produce 50 units of the final product? What will be the total cost of producing these 50 units? b) For the production function above applies The marginal product for work MPL = K The marginal product for capital MPK = L Enter the cost-minimizing combination of capital and labor in the production of 50 units. Also enter the size of the costs. c) Write down the equation for the isocost line for the manufacturerSuppose that labor is the only input used by a perfectly competitive firm. The firm’s production function is as follows: Number of Workers: 0, 1, 2, 3, 4, 5, 6, 7 Units of Output: 0, 7, 13, 19, 25, 28, 29, 29 a. Calculate the marginal product for each additional worker. b. Each unit of output sells for $10. Calculate the value of the marginal product of each worker. c. Compute the marginal profit if the wage is $100 a day. 2. Your enterprising uncle opens a sandwich shop that employs 7 people. The employees are paid $12 per hour, and a sandwich sells for $6. If your uncle is maximizing his profit, what is the value of the marginal product of the last worker he hired? What is that worker’s marginal product?