Q1. Illustrate what is the mechanism by which an aggregate demand recession is transmitted from one country to another?
Q2. If a company has a total fixed costs of $100,000 per year and the company's average variable cost is $5 for 10,000 widgets. At the level of output, the firm's average total costs equal Illustrate
Q3. In the following one-shot game, if you advertise and your rival does not, you will make $20 million in profits and your rival will make $6 million. If your rival advertises and you do not, you will make $2 million and your rival will make $6 million. If you advertise and your rival advertises, you will each earn $10 million. If neither of you advertise, your rival will make $8 million and you will make $4 million.