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The increased demand for corn to be used in ethanol is driven in large part by nearly $10 billion in government subsidies.
Consider three groups of people:
- Consumers (who are also taxpayers)
- Commodity farmers (who can plant either corn or wheat)
- Cattle ranchers (who buy corn or wheat to feed to livestock)
Of these groups, who gains and who loses as a result of these subsidies?
A. Farmers gain; consumers and ranchers lose.
B. None of these groups gains anything; the only ones to benefit are the ethanol-producing companies.
C. Farmers and consumers gain; ranchers lose.
D. Farmers and ranchers gain; consumers lose
a homeowner can insulate his house and save $50 each year in heating bills. If the interest rates are 6%, should the house owner insulate or not.
A shortage of a good occurs when: Who ultimately pays the tax depends on who writes the check to the government. If a buyers pay $10 per unit and sellers receive $8.50 per unit the tax is 1.50 per unit
Compute the gross price paid by consumers after a per-ticket tax of $4. Calculate the after-tax price received by ticket sellers.
A farmer sells cotton to a clothing company for $1,000 and the clothing company turns the cotton into T-shirts that it sells to a store for a total of $2,000. How much did GDP increase a result of these transactions?
Calculate MPC, MPS and the Multiplier if consumption expenditure increases by $4,250 as a result of increase in income from $40,000 to $45,000.
Why might investment not respond positively to low interest rates during a recession? Why might investment not respond negatively to high interest rates during a boom?
With the aid of a diagram explain the difference between monopoly price, average cost pricing, and marginal cost pricing of a natural monopoly. Which is the most efficient and why
critically estimate the theory and empirical evidence on the optimality criterion for choosing an exchange rate regime.
Assuming that the current production rates are maintained at the three congress plants, that unusual should management select.
On Tuesday, price and quantity demanded are $7 and 120 units respectively. Ten days later, price and quantity demanded are $6 and 150 units, respectively. What is the price elasticity of demand between the price of $7 and the price of $6?
Use calculations to examine the alternatives available to Assiniboine Narrows. Then, based on your calculations, make a recommendation as to the preferred course of action.
compute the shares of lemon grass also troll labor in Hogwarts' income.
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