True or false. In general, production can display diminishing returns in all variables but still display increasing returns to scale. Explain why you think so.

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A: Given information U(X0,X1)=X02+βX12Income in each periodY1 and Y2interest rate=r

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A: Given information Project A Initial capital=$272000 Annual cost=28800 Salvage value=25000 N= 6 years...

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Q: Given the Production Function: q = B,Z, + B2Z2 +B,Z? + B,Z} + BzZ;Zz (a) Find input demand functions...

A: Introduction Given production function: q = β1 Z1 + β2Z2 + β3 Z12 + β4 Z22 + β5 Z1 Z2 Profit = P q -...

Q: In planning for your retirement, you would like to withdraw $60,000 per year for 12 years. The first...

A: Amount to be withdrawn = $60,000 Time period = 12 years  I = 10% per year

Q: The distinction betwoen a normal and an inferior good is O A when income increases, demand for a nor...

A: Merchandise, supplies, raw materials, and finished products are all examples of goods. All goods tha...

Q: Which statement is CORRECT? O A) Automatic stabilizers indicate deliberate action by policy makers. ...

A: Answer: In the case of discretionary fiscal policy, the government takes deliberate action to either...

Q: Still using the graph on the left, shade and label the areas corresponding to the consumer and produ...

A:

Q: (2) Consider the utility function u(x, y) := x'/³y²/3 for all nonnegative I and y. Given the budget ...

A: Disclaimer: Since you have posted multiple questions, I am providing you with the answer to the firs...

Q: the monopolist faces a demand curve given by D(p)=50-p. its cost function is c(y)=y. what is its opt...

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Q: currency in circulation and bank reserves. B) the facilities of the 12 district banks. SC) corporate...

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Q: A consumers utility function is given by U(X1, X2)=Xa1X21-a where  A>0, 0<a<1 A consumer also faces ...

A: We have utility function  U(X1,X2)=X1aX21-a           ...... (1) Where p1and p2 are the prices and M...

Q: What are some characteristics of perfect competition?  Is the Banana market a perfect competition? ...

A: We will answer the first question since the exact one was not specified. Please submit a new questio...

Q: 45 40 35 30 ATC MC 20 15 10 MR D 1 6. 7 Quantity 1. What is the profit-maximizing output and price? ...

A: Answer: (1). According to the above figure, the equilibrium occurs at point E. The equilibrium quan...

Q: A machine cost P480, 000 and has a salvage value of 10% of its cost at the end of its life of 30,000...

A: 1. 1. Book Value=P-tP-SLtWhere,P= Initial ccost S=Salvage valueLt=Lifetime of the assett=timeHere,P=...

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A: The role of social media has increased widely over a period of time to make community or society awa...

Q: Consider a one-period closed economy, i.e. agents (consumers, firms and government) live for one per...

A: The labor demand curve shows the inverse relationship between wage rate and quantity of labor demand...

Q: What will be the primary deficit if the fiscal deficit is 320 and the interest payment by the govern...

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Q: Frank Baum wrote the Wizard of Oz in favor of O eliminating gold as a commodity that backed money to...

A: The Wizard of Oz includes interpretations of L. Frank Baum's contemporary fairy tale (originally pub...

Q: Designers of the Federal Reserve System were concerned that the Fed might form policy favorable to o...

A: The Federal Reserve System is the US government's central banking authority. It serves as the US gov...

Q: a. Distinguish between legally required reserves and excess reserves.   b. Why don’t banks hold a 1...

A: Disclaimer“Since you have asked multiple questions, we will solve the first three questions for you....

Q: What other factors besides interest rates will cause the investment demand curve to shift?

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Q: You are working for company that operates in a competitive industry, which sells flower bouquets. Th...

A: The quations is an example of perfect competition where marinal cost curve is equal to supply curve....

Q: Which of the following was NOT a result of import-substituting industrialization? O It showed that t...

A: Import Substitution industrialization is a financial hypothesis stuck to by non-industrial nations t...

Q: Suppose a firm has a production function as follows: y = 4x 25 x25, The price of x1 and x2 are 2 and...

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Q: TD ULhon betwoen a normal and an infenior good is A. when income increases, demand for a normal good...

A: The above problem is based on two types of goods: Normal Goods Inferior Goods Normal goods are tho...

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Q: Two firms compete in price in a market for infinite periods. In this market, there are N consumers; ...

A: The Nash equilibrium is a dynamic hypothesis inside game hypothesis that expresses a player can acco...

Q: When a small economy imposes a tariff on imports, net welfare O always increases. O always decreases...

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Q: Find the median wage of the following distribution : Wages (in $ ): 2,000-3,000 3,000-4,000 4,000-5,...

A:

Q: Govt purchases increase by $87b and the MPC = .89. By how much will RGDP eventually increase? (round...

A: Increase in Govt. purchases or spending = $87 billion MPC = 0.89

Q: Suppose the government borrows $20 million more next year than this year. a. Draw and fully label ...

A: All answers given below,

Q: Consider the  same marginal revenue functions.  Suppose now that teams must share 40% of their reven...

A: as given in the question,. marginal functions are same, MRL = 125 - 125 WL MRS = 65 - 65 WS

Q: Assume that the demand curve is a straight line. If the price per unit of a good rises from $4.50 to...

A: Price elasticity of demand means percentage change in quantity demanded due to the percentage change...

Q: The probabilities of X, Y and Z becoming managers are 4/9, 2/9 and 1/3 respectively. The probabiliti...

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Q: Write a critique of the export base theory

A: Export Base Theory According to the export base theory, external demand for export industries' produ...

Q: d) If trade is allowed so that the market price for strawberries is $20/box, calculate producer surp...

A: Since you have posted a multi-part question, I hereby provide you with the solution to parts a, d an...

Q: ber of tons of brake assemblies received at an auto parts distribution center last month wa ast tonn...

A: Given that,  

Q: Output Total Cost 8) $10 20 28 3. 38 4 53 73 6. 98 Refer to the provided table. The total fixed cost...

A:

Q: An example of an automatic stabilizer is: A) tax receipts rising when GDP rises. B) a discretionary ...

A: Automatic Stabilizers are the characteristics of transfer and tax system which stimulates the econom...

Q: For all parts of this question, assume that the log of GDP per capita is normally distributed with a...

A: We have  μ=8.7 and σ=1.5 We have to find the percentage of countries having income per capita betwee...

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A: In a market, if there are no competing firms, the firm selling a standalone product or service is co...

Q: Portia owns and manages a sporting apparel company. Consider the given average cost (AC), ayerage va...

A: Average fixed cost = total fixed cost / quantity

Q: Distinguish between autonomous and accommodating balance of payment transaction..

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Q: Why do national income accountants include indirect business taxes in the income approach to GDP com...

A: The income approach determines the cost of production, and then adjusts it to equal the market value...

Q: Refer to the graph shown. This set of cost curves Is: MC ATC B AVC Output Multiple Cholce O wrong be...

A: Total cost is defined as the total expenses that a company or firm has to incur in order to produce ...

Q: Subject: microeconomics   Question: when MRTS is equals to 1, is it a. L=K b. L>K c. L<K ** please ...

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