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The demand curve for cookies is downward sloping. When the price of cookies is 2 dollars, the quantity demanded is 100.If the price rises to 3 dollars, what happens to consumer surplus?
Firms are competing by choosing prices. Suppose that every firm's marginal cost is zero.
If the probability of Verizon not advertising even though AT&T does not is 10 percent, what is expected payoff to AT&Ts decision to not to advertise?
Illustrate what do the economic indicators suggest about the current economy.
Explain the steps that would be used to conduct a Benefit-Cost Analysis of a government policy to alleviate the problem.
Could not Ethiopia become a world class producer and exporter of goods? How would Ethiopia compare with Japan? Japan is a country relatively POOR in natural resources, yet it is an economic world powerhouse. What are the differences between the tw..
Even though the use of checks lower transaction costs when compared to the use of paper currency, it is unlikely that the use of paper or metallic currency will disappear entirely. Why?
Explain difference between nominal and real variables and give two examples of each. According to principle of monetary neutrality, which variables are affected by changes in quantity of money.
q1. assume the price elasticity of demand for heating oil is 0.7 in the long run also 0.2 in the short run. if price
Assume the market for cough syrup is in equilibrium. Now, suppose the government imposes a price ceiling that is above the original equilibrium price. Illustrate what are the economic effects of the price ceiling?
If going rate for developing a roll of film is $8.50, is industry in long-run equilibrium. If not, find price associated with long-run equilibrium.
What is the purpose of economic sanctions? What problems do they pose for the nation initiating the sanctions? When are sanctions most successful in achieving their goals?
Since education yields private market returns, which are fully captured by the person who makes the investment, the market will provide the optimal level of education and the govern- ment should not intervene.
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