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1. Mary is in equilibrium. The MUa =6, MUb =12, Pa=2, what is the price of b?
2. Zach is in equilibrium. The MUa=2, MUb=8, what is the price of a in terms of the price of b?
3. What is the utility maximizing or optimization condition?
What characterizes a winner-take-all labor market and Offer some reasons why corporate heads now earn much more than they did in the 1970s.
Studies indicate that the price elasticity of demand for cigarettes is about 0.4. If a pack of cigarettes currently costs $5 and the government wants to put a tax on it to reduce asmoking by 20%, what should be the size of the tax per pact of cigaret..
What are some ways public policymakers can reduce demand of cigarettes (shift of the demand curve)? Assume the government decides to implement the tax on cigarette manufacturers in order to raise the price of cigarettes. How much does the amount of..
While studying for the engineering economy final exam, you and friends discover yourself craving a fresh pizza. You can't spare the time to pick up the pizza and must have it delivered. Pick Up Sticks offers a 1.25 inch thick (including toppings), 15..
Which of the following countries has the largest tax burden?
A flood control project with a life of 18 years will need an investment of $200,000 and annual maintenance costs of $15,000. The project will provide no benefits for the first two years however will save $80,000 per year in flood damage starting in t..
Pick a social problem where free markets aren't allowed to function and explain how free market features could be introduced to aid alleviate the problem.
Discuss why the government would implement a program to lower the price of a good and the welfare effects of such a program. Give an example of good for which such a policy has been implemented and explain the purpose of the policy.
in the late 1990s a growing number of economists argued that world policymakers were focusing too much on fighting
The manufacturer of high-quality flatbed scanners is trying to decide what price to set for its product. The costs of production and the demand for the product are assumed to be as follows:
1. a. third national bank is fully loaned up with reserves of 20000 and demand deposits equal to 100000. the reserve
An engineer bought a $1000 bond of an American airline for $875 just after an interest payment had been made. The bond paid a six percent coupon interest rate semi annually. What nominal rate of return did the engineer receive from the bond if he hel..
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