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Kent is retained by Mighty Manufacturing, Inc. to perform welding. He was specially trained in safety precautions applicable to installing replacement mufflers on automobiles including a rule against installing a muffler on any auto that had heavily congealed oil or grease or that had any leaks. One day when he was asked to weld a customer’s muffler, Kent disregarded this rule and as a result a customer’s auto caught fire during repair, causing injury to Kent, the car and the Mighty Manufacturing shop. Explain who can sue whom for what.
chance that she will lose her cash or have it stolen. Under these conditions, how often does Tracy go to the ATM, and how much cash does she take out each time?
A study finds that leaf blowers make too much noise, so the government imposes a $10 tax on the sale of every unit to correct for the social cost of the noise pollution. The tax completely internalizes the externality. Before the corrective tax, Blow..
What is one cited reason why healthcare expenditures are so high in the United States? What is one cited reason why healthcare expenditures are so high in the United States? Medicare and Medicaid reduce the supply of medical care.
Using carefully labelled demand and supply diagrams, show the impacts on equilibrium price and quantity in the following situations: New cars are normal goods. What will happen to the equilibrium price and quantity of new cars if the price of gasolin..
What factors might these types of stores have in common behind their declines.
q1. in a recent survey of high school students it was found that the average amount of money spent on entertainment
The state of Minnesota is considering building a highway through undeveloped wilderness. The construction will take 1 year and the construction costs are estimated at $10 million. Find the annual value of benefits which generates a zero net present v..
"Mercantalism recommends that a country should limit its exports, so that more of the otherwise-exportable products are instead available for local consumption." Do you agree or disagree with this characterization of mercantilism's message? Explain.
If there is a permanent increase in the production function that shifts the aggregate supply curve by 20 units to the right, then so long as there is no change in the expected profit stream of projects, the cost of projects, or uncertainty of the fut..
Illustrate if the table represents the demand faced by a monopoly firm, then what is that firm's marginal revenue as it increases output from 1300 units to 2200 units.
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.
Illustrate what problems would occur if the managers of each division were given incentives to maximize each division's profit separately.
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