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Some have argued that higher cigarette prices do not deter smoking. While there are many arguments both for and against this view, some find the following argument to be most persuasive of all: "The laws of supply and demand indicate that higher cigarette prices are ineffective in reducing smoking. In particular, higher cigarette prices will reduce demand for cigarettes. This reduction in demand will push the equilibrium price and quantity back to its original level. Since the equilibrium price remains unchanged, smokers will consume the same number of cigarettes" Do you agree or disagree with this view?
Illustrtae which single type of product has the greatest impact on your employer
Assume that initially equilibrium was 200 units and that this was also full employment level of income
Illustrate what fiscal policies are needed to fight unemployment
A consumer lives three periods, called the learning period, the working period, and the retirement period. Her income is 200 during the learning period,
Bada Bing, Limited. supplies standard 256 MB RAM chips to the US computer and electronics industry. Like output of its competitors, Bada Bings Chips must meet strict size, shape, and speed specifications.
Assume the marketplace for milk. For each of the following events, state whether it affects supply or demand (or both, or neither), which direction supply/demand shifts.
A corporation bought a machine for $100,000 four years ago. It was being depreciated on a straight line basis over five years. The company decides to replace this machine today.
Describe when and why central banks buy either their own currency or the currency of another nation in an effort to control exchange rates.
Write a 400- to 700-word memo to the economic adviser. Describe the change in tax revenues for the government in the new equilibrium, in both the short and longer terms.
A severe drought has make a shortage of tomatoes. Jim makes his own barbeque sauce. One of the main ingredients of his sauce is fresh tomatoes.
Illustrate what is the size of the labor force. What is the official unemployment rate.
Consider total cost and total revenue given in the table given below, Compute profit for each quantity. How much should the firm produce to maximize profit?
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