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Specialization and production possibilities
Suppose Sweden produces only trucks and camcorders. The resources that are used in the production of these two goods are specialized—that is, some resources are more suitable for producing trucks than camcorders, whereas others are more suitable for producing camcorders than trucks.
The shape of Sweden’s production possibilities frontier (PPF) should reflect the fact that as Sweden produces more camcorders and fewer trucks, the opportunity cost of producing each additional camcorder ______________________________ (decreases, increases, remains constant).
What is the “ethic of giftedness”? What values does Sandel argue are realized in embracing this ethic? How would Sandel view uses of technological enhancement that are generally accepted (prosthetics, eyeglasses, etc…)?
According to the article about the gasoline shortage, which way is the demand curve shifting
What's the point of creating new bills with more security measures to prevent counterfeiting? (For example in the USA the new $100 bills have more security features). If the old bills are still acceptable as currency, why would anyone even try to cou..
Ashley works for McKennel and Associates, a large business consulting firm. ABC Company has developed, according to industry sources, a new process of building low-emission, high mileage gas engines for automobiles. XYZ, a competitor of ABC, hires As..
Lone Star Industries offers online automobile Insurance to preferred risk drivers in the state of Texas. The company is the low cost provider of insurance in the market with fixed costs of $18 million per year, plus variable costs of $750 for each dr..
Evaluate the following statement: "when the economy is in equilibrium in the ws- ps model, there is only voluntary unemployment, because no agent has an incentive to change their behavior"
What effect each of the following events would have on LRAS? Would LRAS shift left, right or no effect? Explain why.
Kendra Enterprises has never paid a dividend. Free cash flow is projected to be $80,000 and $100.000 for the next 2 years, respectively; after the second year, FCF is expected to grow at a constant rate of 8%. The company’s weighted average cost of c..
Given below are data on real GDP and potential GDP for the United States for the years 2003–2013, in billions of 2009 dollars. For each year, calculate the output gap as a percentage of potential GDP and state whether the gap is a recessionary gap or..
Suppose the government wishes to lower the exchange rate, ε, but not to change real output, Y. What monetary or fiscal policy, or combination of the two, does it need to use to do this? Assume that exchange rates are floating.
What is the resulting deadweight loss relative to the competitive outcome. Compute the Lerner Index for the monopoly described in the question above.
Evaluate whether and to what extent the human failures that led to the disaster can and will be corrected.
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