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Indentured servitude is no longer legal. An indenture was a contract binding a person to work for another for a given length of time (usually for many years), as an apprentice to a master or an immigrant to service in a colony. Such a relationship was a way for a poor but ambitious person to immigrate to a more prosperous country. The period of servitude, however, was harsh, and the penalty for breaking the contract extreme (imprisonment or worse). Evaluate the law prohibiting such contracts with respect to the concept of pare to efficiency
q.hana takes two examinations. her overall grade for the course will be the maximum of her scores on the two
Calculate the elasticity for each variable. On this basis, discuss the relative impact that each variable has on the demand. Illustrate what implications do these results have for the firm's marketing and pricing policies.
q.two firms face a demand equation given by p200000 -6q1q2 where q1 and q2 are the outputs of the two firms. the total
Government budget going from deficit to surplus and the simultaneous enactment of an investment tax credit.
Explain what the GDP cost index is and what is its role in differentiating nominal GDP and real GDP.
Classify each of the following scenarios as an example of adverse selection or moral hazard. Be sure to support your answer! Nordstrom†TM s cannot predict who is going to be a good shoe salesperson.
consider the problem of picking a price for an economics textbook. the marginal cost of production is constant at 20
Suppose further that the MCP is 0,8 if the government wants to increase the real GDP to 2000 billions, by how much should the government increase /decrease its lump-sum taxes? Assume the price level is fixed.
Draw an Edgeworth box with indifference curves through this endowment. At what combinations of X and Y are both better off (i.e., are Pareto Improving)? At what combinations of X and Y are there no more gains from trade (i.e., are Pareto Efficient)?
By what percentage will the demand for coffee increase each year? Show how you got the solution. How soon will the area have enough demand to support a fifth Starbuck? Show how you got the solution.
What is a subgame-perfect Nash equilibrium proposal of player 1, and what is the resulting outcome of the game
Speculate about the behavior that could result from these transactions and propose at least two (2) strategies for dealing with them.
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