1) Derive the three stages of production.

2) For a competitive firm, derive the marginal revenue product stating and using all necessary assumptions.

3) Show under what conditions the marginal revenue product is the demand curve for the firm.

4) Discuss the difference between the sum of the firms' demand curves for factors and the industry demand for factors.

5) How does the demand for factors in a monopolistic industry compare to the demand for factors in a competitive industry?

6) Using indifference analysis, derive the individual's supply of labor:

a. Set up the indifference space

b. Derive the wage expansion path

c. Convert the WEP to the supply of labor

7) Why is the supply curve of labor thought to be backward bending?

8) Is the labor market equilibrium unstable?

9) Is the labor market unstable?

10) Is the supply of land fixed? Why or why not?

11) What is the concept of rent as profit and how did it evolve?

12) What is the implication of a fixed supply of land?

13) What is a present-biased time preference? Why might someone have one?

14) Explain discounting future benefits.

15) Derive the supply curve of capital.

16) Show the relationship between the partial and general equilibrium analyses.

17) What is the impact on the market solution if firms do not profit maximize? What other maximands might they have?

18) What is the impact on the economic solution if information is imperfect?