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After AT&T was split up by government litigation into a number of different entities (i.e., local phone companies, a long-distance phone company and a phone equipment manufacturer), what was the result on competition in the phone market?
Larry wants to determine what kind of growth he needs in order to achieve a $2,500,000 in net worth when he retires. To achieve this goal, he plans to invest $12,500 each year (starting one year from now) into an account that earns an unknown interes..
Suppose that survey measures of consumer confidence indicate a wave of pessimism is sweeping the country.
How would you Measure the Well-Being of a Person? How would you measure the Well-Being of a Nation? Would you be better off if I gave you money?
Gilberto is an owner of a professional sports team in a large league. To promote fairness, the team with the most losses in the league automatically gets the best new player to enter the league next year. Externalities are a shortcoming of the market..
In light of the externalities involved in the market for gasoline, how do the tax changes affect society's total welfare. Elucidate the effects on each individual component of total welfare.
You observe a positive relationship between price that your store charges for CDs and total revenue from CDs. Is demand for your CDs elastic or inelastic.
What are some of the difficulties in implementing case-mix adjusted payment schedule in nursing homes? What are the criteria used to determine a case-mix weight? What are the strengths and weaknesses of such a system?
Suppose that the oil refining industry releases one unit of waste into the atmosphere for each unit of refined product. Find the equilibrium price and quantity. Suppose the government imposes a corrective tax of T per unit of unit of emission. How la..
Two firms compete under Cournot competition with constant marginal costs c1 = 2 and c2 =6. The market demand is p=24-q. Compute the market share of each firm, the market price, and the total quantity produced in the market. Compute the Lerner index.
How does a government budget surplus affect the U.S. economy? Identify two periods in recent history in which the United States has run budget surpluses. What were the reasons for the surpluses during those time periods?
Demonstrate graphically the cost of income taxation of 30% to consumers and producers for an income of $27,908?
Two identical countries, Country A and Country B, can each be described by a Keynesian-cross model. The MPC is 0.8 in each country. Country A decides to increase spending by $1 billion, while Country B decides to cut taxes by $1 billion. In which cou..
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