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Do you think that NAFTA has forced the US economy to reallocate its resources to more capital intensive goods? If so, what would be the long term impact on economic growth?
The market supply and demand functions for a product traded on a perfectly competitive market are given below: QD = 40-P QS = -5 +4P. Based on this information, calculate the equilibrium price and quantity in this market.
Explain the assumptions behind the model of perfect competition and explain the sources of the recent housing price "bubble"? Provide a chart if needed?
Other things being equal, a rise in a country's terms of trade increases its welfare. What would happen if we relax the ceteris paribus assumption, and allow for the law of demand to operate internationally.
The art of economics consists in looking notmerely at the immediate but at the longer effects of any act o rpolicy; it consists in tracing the consequences of that policy notmerely for one group but for all groups.
Grow Fertilizers Company purchases a gravity settling tank of the $30,000 purchase price. The company finances 30% of the investment with a loan to be repaid with eight equal semiannual payments at an annual interest rate of 12% compounded semian..
Assume the firms in an oligopoly produce a differentiated product and are initially colluding. If each firm begins to cheat (to increase sales) by underpricing the other firms, as the amount of cheating increases
What type of barriers to entry exists in this industry and how did Virgin Mobile manage to enter into this industry and Justify why it is beneficial for existing firms to attempt to create such barriers.
How can you justify the existence of government-granted monopolies for public utilities such as natural gas distribution and electricity in the light of traditional economic argument that the more competition there is, the more likely it is that a..
Is it possible for companies both to maximize financial value for shareholders and to act responsibly in the communities in which they operate. Cite examples of companies that are doing so.
The local utility company applies a "declining block" rate structure for its industrial consumers, that lower unit price is charged for higher quantity blocks of electricity and water usage. Is the company practicing any type of price discriminati..
If the price of a mouse pad is $7.00, describe the situation in the market. Explain how market equilibrium is restored. What is the market equilibrium if a fall in the price of a computer changes the quantity demanded of mouse pads by 20 a week at e..
Which of the following products and services are likely to encounter adverse selection problems: golf shirts at traveling pro tournaments, certified gemstones from Tiffany's graduation gift travel packages, or mail-order auto parts
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