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Indicate whether each of the following statements is true, false, or uncertain, and explain your answer. Your grade will depend primarily on the quality of your explanation.
1. The higher the interest rate used to discount future benefits, the more valuable the benefits appear today.2. A commodity tax that raises no tax revenue creates no dead weight loss.3. Commodity taxes on goods with completely inelastic market demand curves are efficient because analytically they create no excess burden. 4. Efficiency is maximized when all commodities are taxed at the same rate.5. Average cost pricing for a natural monopoly allows the enterprise to break even, but the outcome is inefficient.
what are the causes of inflationary gap
Suppose that 70% of people who identify themselves as an "Independent" voter end up voting for a Republican candidate. What is the probability that out of 120 "independent" voters
How much money can banks create? Does this mean that banks can create an unlimited amount of money? The answer is no - that would require them to lend an unlimited amount of m
Briefly explain the dynamics of the 2007 financial crisis in terms of adverse selection and moral hazard.
Filbert and Lychee have convex indifference curves. Note Filbert is indifferent between baskets (3, 2) and (4, 1)--these are x, y coordinates. Lychee is indifferent between baskets
Discuss what policy changes he might be likely to propose with respect the issue that you identified as one about which he might be concerned.
discuss Haberler''s opportunity cost doctrine.
Long Run Equilibrium:Graphical Analysis In the long run the natural rate of output is the level of output to which the economy will tend to adjust in the long run. This indicat
An effort to reduce energy costs, a major university has installed more efficient lights as well as automatic sensors that turn the lights off when no movement is present in a room
An investor has a choice of 2 investment opportunities. The first investment yields a gain of $2800 with probability of 0.37, a gain of $1100 with probability of 0.27, and otherwis
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