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Use the accompanying table to answer the following questions.
Quantity
Private Social
Cost Cost Benefit
1 $ 2 $ 4 $12
2 $ 6 $ 10 $22
3 $ 12 $ 18 $30
4 $ 20 $ 28 $36
5 $ 30 $ 40 $40
a. What is the external cost per unit of output?
b. What level of output will be produced?
c. What level of output should be produced to achieve economic efficiency?
d. What is the value to society of correcting the externality?
Computer software utilizes skilled labor relatively intensively.If trade between the U.S. and India is free, which good will the U.S. export and which will it import? What will happen to production of the two goods (increase or decrease) in the U...
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Require some good concepts on a solution to the following situations. How can we pay for this solution? Cuts in present programs or new taxes?
Low income housing or subsidized housing in urban economics and the paper must be atleastten pages long
What is the price elasticity of demand for tours? Interpret your answer. Given this elasticity, should Breakaway increase prices to increase revenue? Explain.
During the past year, the average price of lots along Lake Michigan in Carol Beach rose from $2,500 to $3,000 per foot of lake front. At the same time, sales of new homes located off the Lake rose from 40 to 70 units. Calculate the cross elastici..
find an article that identifies a change in supply andor demand. use the article to fulfill the following instructions
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The MidNight Hour, a local nightclub, earned $100,000 in accounting profit last year. This year the owner, who had invested $1 million in the club, decided to close the club. What can you say about economic profit (and the rate of return) in the n..
Devise a hypothetical business situation in which buying a lookback call option on a commodity may be a sound strategy for you. How about a down-and-out call option?
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