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The simple case of a fixed per-unit tax is indicative of more complicated ones. Consider a proportional sales tax and a progressive sales tax. How do the tax revenues, and quantities produced compare in these various cases?
Explain how value can be created simply by exchange even when nothing new is produced? [This is true for a monetary and for a barter economy].
Explain how competitive privately issued currencies would work automatically to provide consumers with protection against inflation?
Would interest exist in a pure exchange economy where no production occurred? Explain.
Briefly contrast the static and dynamic views of monopoly and the policies appropriate for each.
Specific identification, because it correctly identifies the actual item sold and so the actual cost is recorded on the income statement.
These three empirical observations are explained by ‘Preferred Habitat theory'. First, completely explain Preferred Habitat theory. Next, explain how this theory explains all three empirical observations.
Assume that the following data describe the condition of the banking system: By how much could the banks increase their lending activity?
Use indifference curves to distinguish between income and substitution effects, using the above techniques explain why the demand curve slope downwards, What are the main criteria for designing a tax system, To what extent do you think the national..
Use the circular flow model to provide a picture of how households, firms, and governments interact in the US economy and how the US and other economies interact in the global economy
How much could the store charge for an yearly membership in order to extract the entire consumer surplus via an optimal two-part pricing strategy.
Which of the following best describes economies of scope?
Explain the implications of those classifications on tax revenue collections when the per-unit tax increases as opposed to decreases.
A machine costs $20,000 and has a 5 year useful life. At the end of the 5 years, it can be sold for $4,000. If annual interest is 8%, compounded semi annually, what is the equivalent uniform annual cost of the machine?
Illustrate what effect will each of the following events have on the current account balance and the exchange rate if the exchange rate is fixed.
Why would you sell these items through retail stores, or would you try direct marketing.
There are currently no other airlines providing direct service to Boston Logan airport. Given the number of local students who live in the northeast, United has estimated the inverse-demand for this flight to be P = 500 Q, where Q is the number of se..
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