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5. The benefit of cutting down a forest is $1 million now. the environmental cost of that harvest is $10/year forever.1) At a 0 percent discount rate, are the benefits of harvesting greater than the costs? Why or why not?2) The private market discount rate is 4 percent, but the government has decided to use a social discount rate of 0 percent. What is the opportunity cost associated with using the social discount rate in this situation? Explain.
The length of a Colorado brook trout is normally distributed. Illustrate what is the probability that a brook trout's length exceeds the mean.
the firm will earn $15,000 if it introduces the new product, and revamping the production facilities will earn new profits of $60,000. What should the manager do.
Suppose that tax and aggregate expenditur income for an economy. Illustrate what is the change in taxes cause by an increase in government spending.
In 2005, conditions in Iraq led to a sharp drop in consumer confidence and a drop in consumption. Assume that the Fed holds the money supply constant, tell a story and predict the effects on the equilibrium levels of aggregate output (Y) and the inte..
Illustrate what is the point price elasticity of supply at the equilibrium quantity. Illustrate what is the new equilibrium quantity also price if every capita income increases to 20.
Identify and briefly explain key macroeconomic issues that stand out as important to consider in business decisions.
We are all familiar with fluctuating prices of gasoline at the pump. Explain why does this happen.
illustrate what is the new equilibrium price and quantity. Compute the equilibrium price and quantity in this market.
Explain how has the recent natural disaster in Japan influenced the provider of Toyota automobiles.
A firm in a perfectly competitive market invents a new method of production which lowers its marginal costs. Illustrate what happens to its output.
The economists also argued that the technical level of potential output had risen. Show their argument using the AD-AS model
Considering that the beekeeper gets that amount, what range of payments will the farmer admit.
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