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Q. Assume that 2 power plants, Industry 1 also Industry 2, release sulfur dioxide (SO2)in a small urban community that exceeds the emissions standard. To meet the standard, 30 units of SO2 must be abated in total. The 2 industries face the subsequent abatement costs:
MAC1 = 16 + 0.5A1 MAC2 = 10 + 2.5A2, where costs are measured in thousands of dollars.
a. Prove that a uniform standard will not meet the cost-effectiveness criterion.
b. Conclude how the abatement levels should be reallocated across the 2 industries to minimize costs?
Leadbelly Co. sells pencils in a perfectly competitive product market and hires workers in a perfectly competitive labor market.
Subsequently the customer paid the balance on 22 October 2012. To customer the Credit terms offered.
Prove which at the revenue-maximizing quantity, cost elasticity of demand equals one.
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Describe the changes in the model parameter(s) and resulting changes if any in the hiring decisions of the three types of firms.
Explain in detail rather than general in your recommendation.
If a portion of the loans extended by commercial banks is taken as cash rather than as checkable deposits, the maximum money-creating potential of the commercial banking system will.
It is possible for a company with positive retained earnings to be unable to pay cash dividend since they may not have the cash supply.
Explain how more would cumulative spending increase as a result.
Explain how the circular flow diagram relates to the current economic situation.
Elucidate how does N the number of firms in the market, affect each firms Demand curve. Explain why.
Does the coffee marketplace meet all six conditions of a perfectly competitive marketplace.
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