Search & Filtering
A firm faces a demand law q = 50-4p where q and p are the quantity and prices of the good respectively. Find out the price at which total revenue is maximized.
Find the relative maximum / minimum / points of inflection of the following functions:
y=x3+6x2+7
y=2x(1−2x)
y=ln(2x−5)−lnx
y= 13 x3 −15x2 +300x+150
Using the IS-LM model, if money demand is sensitive to interest rates and investment is not directly sensitive to interest rates. Monetary policy is more effective than fiscal policy. Right or wrong? Prove it.
If given the following information (Unit: RM million): Savings (S) = -500 + 0.15Yd Investment (I) = 400 - 150r Government expenditure (G) = 500 Taxes (T) = 200 + 0.1Y Money supply (Ms ) = 5000 Transaction money demand ( 𝑀𝑡 𝑑 𝑃 )= 0.25Y Speculative money demand ( 𝑀𝑠 𝑑 𝑃 ) = 500-250r Price level (P) = 2
(a) Derive the functions of IS and LM in terms of interest rate (r) and income (Y). (b) Calculate the slope of the IS and LM curves. (c) Determine the equilibrium of interest rate and aggregate output in the economy. (d) If the autonomous consumption has increases to RM500 million, i. Calculate the new level of economic equilibrium. ii. Calculate the size of the horizontal and vertical movements that occur. iii. Sketch the changes that occurred before and after the increase in autonomous consumption and explain.
Explain, briefly using as many examples as possible how conservationists and other private individuals were able to increase the amount of environmental quality, though it is a public good, by the use of permits, credits, or certification.
Assume the price of labor is rm5 and the price of capital is rm10 per unit, what is the total variable cost
The utility function of a consumer from consumption of Q1 units of good x1 and Q2 units of good is given by U(Q1,Q2) =5 lnQ1 + 2 lnQ2 , while the unit price of good x1 is 4 dollars while that of good x2 is 2. Find the combination of Q1 and Q2 which will maximize the utility function with the budget constraint of 28 dollars.
Required
a) Write the mathematical model.
b) Write the Lagrange function.
c) Test the output level using second order condition.
d) Find the Lagrange multiplier and interpret it.
. A monopolist has the following weekly total revenue and total cost function (R) = 30Q- Q^2 and (C )= Q^3 -15Q^2+10Q+100, respectively in dollars.
a) Find the level of output that maximizes the profit?
b) Find the maximum weekly profit?
c) Find the point elasticity of demand at equilibrium level of output?
micro economic in relation to the construction industry.
