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Suppose the government implemented a negative income tax and used the following formula to compute a family's tax liability: Taxes owed= (1/3 of income)-$15,000. A family earning $60,000 before taxes would have how much after-tax income?
A. $5,000 B. $15,000 C.$55,000 D. $65,000
Consider the following game: There are 3 players. Each player decides whether to work on a common project or not. The project is successful only if 2 or more players work on it. When the project is successful, each player obtains a payoff of 20. When..
Maintenance costs for a small bridge with an expected 50-year life are estimated to be $1000 each year for the first 5 years, followed by a $10000 expenditure in the year 15 and a $10000 expenditure in the year 30. If the maintenance operation is con..
If the number of labor hours increases by 10% and the number of hours of capital used decreases by 10%, what is the percentage change in output?
Suppose that, for the population of all entering freshmen, the distribution of the number of correct answers would be normal with a variance of 250. what is the probability that sample variance would be less than 100?
We discussed the possibility that a start up firm in San Francisco plans to 3-D print Rhinoceros horns that are indistinguishable from real horns. Assume they are able to produce these horns cheaply. Suppose the price elasticity of demand for heating..
If this tariff is imposed, how much will consumers pay for a pound of tea. What is the quantity demanded. Compute the decline in consumer surplus.
Consider a Stackelberg competition with one leader and multiple followers. All products are homogeneous. Marginal cost for all firms is zero and all products are homogeneous. If the leader produces a quantity of 6 units how much would each of the oth..
In what sense can this be said to be unfavorable to the trade partner. Does this mean that the welfare of the trade partner has definitely declined.
Explain how the introduction of new goods might bias the calculation of the consumer price index. Why is there a lag between the Fed’s actions and the economy’s response? Why is there a lag between the Fed’s actions and the economy’s response?
Suppose that after the wage goes up in the Northern state, workers lose their jobs in the North and decide to move to the Southern state. This increases the population there. Adjust the graph to show what happens to employment and the wage in this So..
Illustrate what is the probability that a simple random sample of auto insurance policies will have a sample mean within $25 of the population mean for each of the following sample sizes: 30, 50, 100, and 400.
Illustrate what are some of the benefits also costs which contribute to your customer value from each of the subsequent products.
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