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Suppose that there are 150 houses in the community with 2,000 square feet (providing services that rent for $10,000 per year). The interest rate is 4% and with proper maintenance all of the houses will last forever. In an election the population decides that they want public services worth $8,000 per year.
a. What property tax rate will be necessary to fund these public services?
b. How much money will be raised by the property tax rate?
c. What will happen to the value of the houses after the tax is imposed?
suppose that the interest rates in the u.s. and germany are equal to 5 that the forward one year value of the euro is
q1. although the u.s. is one of the richest nations in the world it is also the worlds largest debtor nation. we often
Explain how a Central Bank (e.g. the US Federal Reserve Bank, or "Fed") functions in order to: a) control the monetary base ("Hint": the amount of high-powered money); and b) through this control
The inverse demand for your product is P = 200 - 0.1Q in for tourists and P = 500 - 0.2Q in for business travelers. If you price discriminate, what are your optimal prices to the two types of travelers?
explain why an increase in the wage rate for autoworkers will generate more of a negative employment response in the long run than in the short run
Elucidate why a system of marketable pollution permits leads to less costly pollution abatement and a highter concentration of polluted areas than a command-and-control system.
Assume that the society decided to reduce consumption also increase investment. Explain how would this change effect economic growth.
q.country economic analysis report country for indiacollect the following data for the most recent year available1 gdp
When the Finance Division computed the marginal cost of an engine, it discovered that the new engines were much more expensive than rival engines, even accounting for the expected fuel savings. No one purchased teh engine. How would you make sure ..
The payoff matrix of economic profits above displays the possible outcomes for Bob and Jane who are involved in game of whether or not to advertise.
Some businesses will examine either pricing structure and modify it in order to maximize revenue, either by raising or lowering price. Cost and Revenue Curves simulation and this week's readings could organization you have chosen lower prices to in..
What if the monopolist charged P= $5.50 for the first 3 units of the commodity and P= $4 for the next 3 units What type of price discriminiation is this?
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