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ETHICS IN PRACTICE CASE: Double Irish with a Dutch Sandwich
1. Who are the stakeholders and how are they affected by these corporate tax-saving strategies?
2. Do companies have a responsibility to pay a fair share of income tax to local, state, and federal governments? Who determines what that fair share should be?
3. Where do you draw the line on tax savings by corporations?
4. The U.K. government has declared that corporate tax avoiders will no longer be able to bid on government contracts. Critics believe that corporations will find a way to work around it. If it were possible to design a foolproof system, would you recommend it to other governments?
Elucidate how many workers the firm should hire for different values of the wage rate in order to maximize profit.
Assume that the central bank takes the drastic strategy in part 1, but that the private sector has rational expectations.
Describe how the product has changed in price and explain whether the price change is due to supply or demand. Did the change in price affect your decision to purchase the item?
A company employee is considering legal action against her employer. If she came to you for advice, how would you present to her the differences between a stereotype, prejudice, and discrimination? What two laws would you cite (list) to alleviate two..
Either design will serve equally well and will involve the same material and manufacturing costs excluding the lathe as well as drilling operations.
Suppose that there are 150 houses in the community with 2,000 square feet (providing services that rent for $10,000 per year). The interest rate is 4% and with proper maintenance all of the houses will last forever. In an election the population deci..
Suppose a particular labour market were in market-clearing equilibrium. What could happen to cause equilibrium wage to fall. If all money wages rose with inflation each year, how would real wages in this market adjust.
What is the smallest per product unit subsidy that must be paid to the monopolist in order to induce it to produce 7 units of its product?
Recessions seem to show up every so often and create economic hardship. One might think that macroeconomic policymakers could tame the business cycle and implement policies that would end recessions.
Assume two power plants release Sulfur Dioxide (SO2) in Athens, GA. A1 is the abatement in firm1 and A2 is the abatement in firm 2. Please calculate the total costs and marginal costs of abatement for both firms under a uniform allocation approach. U..
Why are savings and investment so important for economic growth? How do savings and investment affect present and future consumption? Explain. How does the Production Possibly Curve behavior when the economy is growing and when the economy is sinking..
Describe the characteristics of optimal contracts in principal-agent problems when the agent (manager) is risk neutral.
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