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What are the external effects ( externalities ) and why they can lead to inefficiencies and government intervention in the markets . Why are some government policies to manage external effects effective ( efficient ) while others are inefficient ( inefficient ).
Define cost when used in cost analysis. Make sure you discuss the concept of opportunity cost.
Which of the following statements is consistent with what happened during the Great Recession? Identify whether the following statement is more likely to come from a classical economist or a Keynesian economist. “The recent decline in consumer confid..
A merchandise trade deficit arises when: The balance of payments on financial account: When capital can flow freely among countries: If the dollar appreciates against the euro: Which of the following is true at the equilibrium exchange rate? A floati..
Thoroughly and accurately graph a simultaneous increase in supply and a decrease in demand. Explain what is happening in your graph and why.
Compared to their levels in 2003, the poverty line has ________ and the minimum hourly wage has ________.
If the price of cheese is marked down during a sale by 20% and in response the quantity demanded (sales) increase from 30 packages to 45 packages what is the price elasticity of demand? Is demand elastic or inelastic?
Assume all markets are competitive, the product price is p = $2 per unit, the wage rate is w = $16 per hour and the firm's production function is q=E(36?E), where E is the level of employment and the firm's fixed costs are zero.
Consider a small economy composed of six people: Eric, Ginny, Kenji, Lucia, Sharon, and Paolo. Based on the criteria used by the Bureau of Labor Statistics (BLS), identify each person’s status as Employed, Unemployed, “Not in the labor force” if not ..
Opportunity cost is defined:
In 2011, the Deepwater Horizon oil spill in the Gulf of Mexico causd heavy damage to the fishing and tourism industries of Louisiana and other coastal states. In addition, there were long-term ecological impacts on fish and wildlife. In terms of depr..
The inverse demand for a homogeneous-product Stackelberg duopoly is P = 18,000 -5Q. The cost structures for the leader and the follower, respectively, are CL(QL) = 2,000QL and CF (QF) = 4,000QF.. What is the follower’s reaction function? Determine t..
A company is considering getting involved in electronic commerce. A modest e-commerce package is available for $29,000. If the company wants to recover cost in 2 years, what is the equivalent amount of new income that must be received every 6 months ..
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