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Your local government needs to increase tax revenue. To increase tax revenue it can either increase the property tax on residential property or increase the property tax on all property. The government wants to impose the smallest excess burden possible. What would your recommendation be? increase the property tax only on residential property because this tax cannot be shifted to increase the property tax on all property because the demand for all property is less elastic than the demand for residential property to increase the property tax on all property, because this tax would be less regressive than a tax only on residential property to increase the property tax only on residential property because taxpayers are allowed to deduct property taxes from their federal income tax liability, thus reducing the amount they must pay in federal taxes.
Assume a manager of a profitable department store you're confronted with the pricing problem. You've two types of customers
Crew Brew produces a popular brand of beer in its mini-brewery located on a small river in Kentucky. Assume that capital can be purchased for $8 per unit, and labor costs $6 per unit. What is the optimal combination of inputs for the firm to employ..
Question about micro economics- Sam Smith owns an internet radio company that has subscribers in Houston and Dallas
Assume that you became president of small theater company. Your playhouse has the 120 seats and small stage. The actors have national reputations, and demand for tickets is enormous relative to number of seats available
. Show how the Fed would increase M1 by 1 million dollars by changing the reserve ratio. Show how the Fed would increase M1 by 1 million dollars through open market operation.
Suppose the price that year rose by 8% and the real rate of return in the stock market was 4%. Your friend says she or he was being more than fair giving you more than the rate of inflation as a return, What do you think and Why?
The government is considering undertaking one of the four projects A1, A2, A3, A4. These projects are mutually exclusive, and the estimated present values of their costs and of their benefits are shown in millions of dollars as follows.
George has been selling 5,000 T-shirts per month for $8.50. When he increased the price to $9.50 he sold only 4,000 T-shirts. What is the demand elasticity? If his marginal cost is $4 per shirt, what is his desired markup and what is his initial a..
An asset is expected to be used in a project that will last 5 years. The MACRS property class for this asset is 3 years. If B = 10,000 and S = 3,000 at the end of year 5, determine the depreciation schedule.
Consider the market for tuna, which is a price-taker market. The long-run equilibrium price is $3 per can of tuna, and the long run equilibrium quantity is 600 million cans per year. suppose the surgeon general issues a report saying that eating t..
Compare these nominal interest rates with the current rate of inflation as measured by the most recently announced rate of change in the consumer price indexIf the current rate of inflation were to continue unchanged, what real rate of interest wo..
Develop a paper detailing an analysis of market structures and relating pricing strategies that are suitable for each of these structures. Furthermore, include a real world example of pricing strategy for a specific U.S. company by identifying its..
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