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If the rate of discount is 20 percent Would you rather receive $100 today or $120 in one year? b Would you rather receive $205 today or $240 in one year? c Would you rather receive $500 in one year or $610 in two years?
Suppose that the authorities had effectively prohibited price-gouging and somehow managed to ensure that their action had no effect on the quantity of ice in the area. What would have been the effect on social welfare?
The own price elasticity of demand for gasoline is estimated to be 0.6.
Though your answer needs to be correct in terms of economic theory (so be sure to read the assigned chapters), creativity and having fun with it is strongly encouraged.
Bob as well as Nancy live in a new housing development as well as they would like to have fire hydrants installed to assist the fire department in case of a fire.
A concerned Congress votes to impose a price floor $2 above the equilibrium price. Illustrate what is the new market price.
Now suppose the economy currently produces 2,500 garments of clothing and 3,000 bushels of wheat, illucidate which is represented by point B. Under these conditions, the opportunity cost of producing an additional
An economy needs 400 bn. Spending to close the recessionary gap, multiplier is 4; what should be the increase in spending on the part of the of the government?
How much profit does each firm earn. Ignoring antitrust considerations, would it be profitable for your firm to merge with Fasten It If not, explain why not; if so, put together an offer that would permit you to profitably complete merger.
In this forum we discuss the different arguments that are made in favor of international trade protectionism and the important role of the politics of protectionism.
Under what conditions would firms be likely to support an industry-wide advertising ban. Please provide a few examples.
The monopolist's marginal cost of production is constant at $11 per product unit. What is the size of the deadweight loss caused by the monopolist choosing to supply 10 units of its product?
A corporation has ten employees, all of whom want a more pleasant work environment. Accordingly, they are considering removing litter from the grounds of plant.
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