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The United States takes pride in free market system, freedom, and individual achievements, yet one of the major problems in dealing with any welfare program is the tension between individual and social responsibility - Medicare is no different. Should adult children be responsible for the medical expenses of their parents? Where does individual and family responsibility end and social responsibility begin? Discuss the main issues surrounding the high cost of Medicare and Medicaid and what can be done to contain the cost in coming years.
Which of the following is a key step in evaluating ethical decisions in business?
A combine used for harvesting corn was purchased new 6 years ago for $400,000 with the intention of using it for its full asset life of 25 years (when its salvage value would be zero). It has a book value of $125,543 and can be sold for $130,000 now...
After a long period of negotiations, it would appear that the United States and Iran have come to an agreement on the timing and scope of Iran's development of nuclear weapons. Mention and discuss in detail two reasons why the government of Israel th..
To save on gasoline expenses, Edith and Mathew agreed to carpool together for traveling to and from work. Edith preferred to travel on I-20 highway as it was usually the fastest, taking 25 minutes in the absence of traffic delays. Mathew pointed out ..
A small isolated town has one doctor. For a 30-minute consultation, the doctor charges a rich person twice as much as a poor person. Does the doctor practice price discrimination? Can the town doctor continue to practice this way if another doctor op..
Why the aggregate demand curve slopes downward. The following graph shows the aggregate demand (AD) curve in a hypothetical economy. At point A, the price level is 120, and the quantity of output demanded is $500 billion. Additionally, as the price l..
Explain the paradox of why new cars usually lose a large fraction of their market value the moment they are driven from the showroom. Identify the economic principle that explains this paradox.
Suppose the own price elasticity of demand for good X is -4, its income elasticity is 3, its advertising elasticity is 4, and the cross-price elasticity of demand between it and good Y is 4. Determine how much the consumption of this good will change..
Japanese GDP in 2010 was 480 trillion yen (U.S. GDP, again, was $14.5 trillion). The exchange rate in 2010 was 87.8 yen per dollar. Contrary to China and India, however, Japan had higher prices than the United States: the price level in Japan (conver..
The Townsville City Council is considering a proposal by the mayor to construct a recreational facility at a cost of $1.0 million. The facility is expected to have a useful life of 30 years during which operating costs are expected to average $100,00..
Bailey, Inc., is considering buying a new gang punch that would allow them to produce circuit boards more efficiently. The punch has a first cost of $150,000 and a useful life of 15 years. At the end of its useful life, the punch has no salvage value..
At the beginning of the year, an audio engineer quit his job and gave up a salary of $ 175,000 per year in order to start his own business, Sound Devices, Inc. What are the total explicit, total implicit, and total economic costs in 2011? What is acc..
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