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Suppose the government removes a tax on buyers of a good and levies a tax of the same size on sellers of a good. How does this change in tax policy affect the price that buyers pay sellers for this good, the amount buyers are out of pocket including the tax, the amount sellers receive net of the tax, and the quantity of the good sold?
Steel is labor intensive and rice is land intensive. According to the long run Heckscher-Ohlin model what happens when these two countries move frome no trade to free trade? Wages in France's rice industry? Wages in France's steel industry? The pr..
The Microsoft trial has been only one of the biggest investigations of antitrust behavior as the turn of the century.
Evaluate the following statement: "I am a manager in a governmental agency. I have no control over compensation policy. All workers are paid the same salary (everyone is paid according to a set schedule and their remuneration cannot be adjusted by..
Roger spends all of his money on racquetballs and food. What would happen to Roger's budget line if his income increased by 10 percent, holding prices constant a)it would shift inward b)it would pivot about the axis for foodc)it would pivot about t..
Why does a government place price ceilings, such as rent control, on some "essential" goods. to encourage an increase in supply of necessary items, to limit the impact of equilibrium pricing or else.
Assume a duopoly and let demand be given by P=A-BQ. In addition, let both firms have the same marginal cost c. The interaction between the two firms will be repeated infinitely. Both firms play a grim trigger strategy: they collude and play the co..
True/False: For each of the following concepts, decide whether it's true or false, and briefly explain why (2-3 sentences). You can also use diagrams if they are helpful. Each correct answer is worth.
Assume demand and supply conditions in the competitive market for unskilled labor are as follows.
Illustrate what is the reserve ratio if the bank has $160 million worth of checking deposits, $32 million worth of reserves in deposits at its federal reserve district bank, and $8million worth of reserves in vault cash.
If the Inflation rate were to accelerate the economy would be flourishing as there is a need for more people to do the work.
The rates of server for performance monitoring were officially defined for 2008 also represents a reduction
Estimate possible macroeconomic arguments might President Obama use to defend his $862 billion fiscal stimulus package as a part of his economic recovery plans?
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