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1. Why have economic analyses of clinical and administrative innovations become more important?
2. A clinic finds that by eliminating appointments it can reduce costs. The clinic is able to eliminate some telephone staff, and physicians become more productive. Patients wait until the physician is available, so there is virtually no down time. Does this analysis adopt a
societal view of costs? Why might this analysis result in a bad managerial decision?
3. Treating a patient with congestive heart failure with tPlex rather than Isother increasesaverage life expectancy to 12.3 years from 11.5 years. The added cost of therapy is $14,000. What is the cost per life year?
4. What does it mean to have market power? Are firms with market power extremely profitable?
5. Why might banning advertising drive up prices?
Elucidate the fiscal policy also which factors limit its effect.
Assume two firms, A and B, serve a market with demand D(p) = 100 - p. Assume that (i) they have identical cost functions, c(Q) = 5Q,
Elucidate why the US would subsidize the short run costs of production for tobacco farmers in foreign countries.
Be sure to describe the two step method used in FASB 52 and how highly inflationary economies
Assume that two individuals have the similar tastes and the same initial endowments. What can you say about the efficiency of the allocation.
Find the Cantina's minimum efficient scale and its average cost when operating at minimum efficient scale and find the Cantina's marginal revenue function.
The government should not be in the organization of promoting renewable power, but should simply set a reasonable price on greenhouse gases
Explain how banks and individuals can use "covered interest arbitrage" to protect themselves when they make international financial investments.
Suppose that a firm is a perfectly competitive industry has the following total cost schedule: Compute a marginal cost and average cost schedule for this firm.
Compute the value of the price index for GDP for 2005 using 2004 as the base year. By what percent did prices increase.
Illustrate what did classical economists assume about the flexibility. What disagreements did Keynes have with classical economists.
According to the Heckscher-Ohlin theorem, is Russia capital abundant or labor abundant? Briefly explain. What is the impact of opening trade on the real wage in Russia? Briefly explain.
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