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The burden of a tax is mainly borne by the buyer if: a. the demand for the good is relatively price elastic. b. the supply of the good is perfectly price elastic. c. the supply of the good is relatively price elastic. d. the demand for the good is relatively price inelastic. e. the demand for the good is perfectly price elastic.
1. Draw graphs showing a perfectly competitive firm and industry in long run equilibrium.
WSJ's Justin Lahars reports that counties throughout the U.S. have seen employment declines that can be attributed to the importing of inexpensive goods from China.
Title IX of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 appears to be driven in part by the Madoff Ponzi scheme. Indeed, af- ter the SEC’s investigations failed to detect the Madoff fraud (see Case 1.12), many sections of Ti..
Why is there a social cost to monopoly power? If the gains to producers from monopoly power could be redistributed to consumers, would the social cost of monopoly power be eliminated?
Elucidate how and why the unemployment rate fluctuates with the inflation rate as is depicted in the Short-Run Phillips Curve.
Give an example based on your experience of a situation in which using a multiple regression model or nonlinear regression model may have helped you make a better decision.
A parent has a pile of toys to divide between two children. Assume that there is an even number of each toy. What method of dividing the toys ensures that the final division is efficient? Divide the pile arbitrarily, and then let the children trade t..
Use of discretionary policy to stabilize the economy should the government use monetary and fiscal policy in an effort to stabilize the economy? The following questions address the issue of how monetary and fiscal policies affect the economy, and the..
Median length of stay was 1.1 days shorter when a hospitalist cared for a Medicare patient. Median cost per case was $853 less (excluding physician fees). There were no significant differences in mortality, 30-day readmissions, or transfers. Hospital..
Indonesia's infrastructure is in bad shape. [According to a recent article in The Economist (May 9th 2015): "companies spend 50% more on logistics than those in Thailand and twice as much as those in Malaysia."] The government of Indonesia cut fuel s..
An industry consists of six firms with annual sales of $300, $500, $400, $700, $600, and $600. What is the HHI? According to the general rule of thumb, the HHI of this industry implies that the market structure is ________ (competitive, noncompetitiv..
Consider a Cobb-Douglas utility function of the type u(x,y) =x2y2. The prices of the two goods x,y are px = $2 and py=$4 consumers income is given by m=$100. find the optimal basket containing these two goods. find the demand functions for x. Must be..
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