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Suppose it costs $30 for each lobster trap set. Lobsters sell for $15. If X traps are set, the harvest rate of lobsters, L, as a function of the number of traps, is given by: L = 45 X –X2. With no restrictions on the number of traps, and open access to the waters, how many traps will be set? How many lobsters will be harvested? How much profit will be realized from lobstering?
You learn that the market price of illegal drugs is falling. Which hypothesis is consistent with this information on drug prices.
Estimate each of these alternatives from the perspective of economic efficiency, equity, and the likely long-term impact on the firm.
If he estimates that the industry supply function for computers in the town is P = 700 + .5Q, explain how many computers will be sold at equilibrium and at what price would the producers be selling.
Elucidate how free market features could be introduced to help improve the problem. As your answer also include a discussion of the risks of introducing market mechanisms.
How does a government budget deficit affect the economy? Identify two periods in recent history in which the United States has run budget deficits. What were the reasons for the deficits during those time periods?
q1. why does the assumption of independence of risks matter in the examples of insurance? what would happen to premiums
Suppose that the Mexican Peso is trading at 10 pesos per dollar, the interest rate in the US is 5% and the interest rate in Mexico is 4%. What must happen to the exchange rate in order for the interest rate parity condition to hold?
q. assume that the production function for all countries is given by y ak13. assume that the depreciation rate d and
Illustrate what is the difference among the Marxist also the Value Conflict approach to social problems
Returning to question 2, suppose the government put a tax on soda of $.50 per can to be paid by consumers. Graph the before and after tax supply and demand curve. What is the new ewuilibrium price and quantity?
What are your thoughts about the role of international institutions ( WTO, IMF and World Bank) on providing order and reducing uncertainty in the global economy?
What is the value of net domestic product (NDP)? What is the value of national income (NI).
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