Economics Answers

Supppose that a farm's production function is determined by two factors: land area (K) and labour (L). The
production function is specified as follows:

The farm's land area is 500 acres
The unit cost of capital and labour is as follows:
- land $10 per acre
- labour $500 per labour
Complete the following table:
L Q TC AFC AVC ATC
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20

Many retirement funds charge an administrative fee each year equal to 0.25% on managed assets. Suppose that Alexx and Spenser each invest $5,000 in the same stock this year. Alexx invests directly and earns 5% a year. Spenser uses a retirement fund and earns 4.75%. After 30 years, how much more will Alexx have than Spenser?

I have no clue on how to do this problem and I am in tears

In an oligopoli-stic market situation there is often said to be an absence of price competition. Explain
why this is so and critically review the alternatives which are often pursued by firms in this
situation.

What market failure a mango tree in an open lot represents?

Answer the questions, based on the following information.


Year
Nominal
GDP (bill.)
Price
Index (GDP deflator)
Real
GDP (bill.)

Year 1
$4,486.0
108


Year 2
$4,710.3
112







(i) Between Year 1 and Year 2, nominal GDP has (increased/decreased) by %.

Choose a product of your interest to determine the most important determinants of its demand. You need to develop this into a generic demand function of the form
Qx = a0 + a1 Px + a2 I + a3 Py ……

Graphically show and explain the effect of the shift of either demand or supply curve or the shift of both on the market equilibrium price and quantity for each of the following events. c. Consider the market for brown rice and assume that this market is initially in equilibrium. Suppose that there is an increase in income and that brown rice is an inferior good. At the same time there is a decrease in the number of farmers producing brown rice. What happens in the market for brown rice given that the effect of the increase in income is stronger?

Graphically show and explain the effect of the shift of either demand or supply curve or the shift of both on the market equilibrium price and quantity for each of the following events.b. Imagine that the demand for Bangladesh’s Cricket Team’s Jersey has increased due to an upcoming Cricket match. At the same time, there is a workers’ strike going on at the Chittagong seaport and Jersey manufacturers have very little supply of the raw material needed to make these Jersey. Draw a demand‐supply diagram to show what happens in the market for Bangladeshi Jerseys. Assume they are initially at equilibrium.

Graphically show and explain the effect of the shift of either demand or supply curve or the shift of both on the market equilibrium price and quantity for each of the following events.
In Swaziland, farmers can either plant corn or wheat on their land. Both the wheat and the corn markets in Swaziland are initially in equilibrium. The price of corn increases, what happens in the market for wheat?

what is economic