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For any given demand curve for the right to pollute, the government can achieve the same outcome either by setting a price with a corrective tax or by setting a quantity with pollution permits. Suppose there is a sharp improvement in the technology for controlling pollution.
a. Using graphs illustrate the effect of this development on the demand for pollution rights.
b. What is the effect on the price and quantity of pollution under each regulatory system?
Illustrate what is more important for them to monitor and target, inflation or interest rates.
Discuss and explain the current tax treatment of capital gains under personal income tax. Describe why do some economists argue that reduction in rate of taxation and capital gains can actually raise tax revenue collected from such gains?
Briefly elucidate how knowledge of price elasticity between different groups of customers
Compute the marginal cost and marginal revenue of each unit of output and enter these figures in the table.
You're the manager of copies are us. The only copy store in town, the carbon copy, recently got bids on adding a colour copier.
The PPF curve shows the economic choices a country can make about production given scarce resources, a given technology, and a given quantity of inputs. Assume you are a developing country, producing food and clothing at maximum capacity.
Explain how a firm's production function is related to its marginal product of labor, how a firm's marginal product of labor is related to the value of its marginal product.
Discuss how the economic indicators inflation, employment levels and interest rates,
Since 1990, energy use per person has either remained fairly stagnant or has increased in different nations and regions of the world. Match the nation or region with the trend in energy use per person since about 1990. Column preview China. increa..
Under the maturity extension program, the Federal Reserve sold or redeemed a total of $667 billion of shorter-term Treasury securities and used the proceeds to buy longer-term Treasury securities, thereby extending the average maturity of the secu..
The demand schedule (or demand function or curve) for a good shows the total quantities (Q) that buyers are willing and able to buy at various prices (P) in some period of time. For example, here is a demand function illustrating the very special
Suppose you can invest in education that costs $10,000 each year for two years in a row. After that, you will receive additional income in the form of a higher salary of $15,000 for three years. If the interest rate is 4%, is this a good investm..
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