Units of labor Total product Average product Marginal product 1 _____ 40 _____ 2 _____ __

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Suppose that the firm s production function is given by Q = 10KL1/3. The firm s capital is fixed at

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If the government increased defense spending by $1 million and laid off enough Justice Department employees to decrease the Department of Justice budget by $1 million, we would expect the net effect t

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The 9/11 terrorist attacks caused the U.S. airline travel demand curve to shift left by an estimated 30%. Use a supply-and-demand diagram to show the likely effect on price and quantity (assuming that

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1. Bank of Beacon Hill has total reserves of $40 million and current total checking account deposits of $200 million. With a legal reserve requirement of 10% of total checking accounts, what is the ba

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