If an investment will return $1,500 half of the time and $700 half of the time, the expected value of the investment is:
A. $1,250.
B. $1,050.
C. $2,200.
D. $1,100.
Answer: D
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Kate and Alice are small-town ready-mix concrete duopolists. The market demand function is Qd = 20,000 - 200P, where P is the price of a cubic yard of concrete and Qd is the number of cubic yards demanded per year. Marginal cost is $80 per cubic yard. The Cournot model describes the competition in this market. What is Kate's marginal revenue function?
A. MR = 100 - 0.005QK - 0.01QA B. MR = 100 - 0.005QA - 0.005QK C. MR = 100 - 0.005QA - 0.01QK D. MR = 100 - 0.005QK - 0.005QA
If total product is rising as more workers are hired, MPP must be positive
Indicate whether the statement is true or false
Most economists support the idea of peak-load pricing on the grounds of
a. fairness in income distribution. b. efficiency in input usage. c. equality of opportunity. d. efficiency in output allocation.
The quantity of money held in response to interest rates is the:
a. precautionary motive for holding money. b. unit-of-account motive for holding money. c. transactions motive for holding money. d. speculative motive for holding money.