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The United State Post Office (USPS) has an agreement with Amazon and other major online retailers. FEDEX and UPS also have agreements. Some economists contend that public agencies generally are less efficient than private businesses. The USPS competes directly with Federal Express and UPS for delivery of express mail and packages.
Assume you need to send an overnight letter and a package weighing 3 pounds from your address to New York City and San Diego, California. Based on the interactive rate and options calculators, which service is more competitive as to price and delivery, FEDEX, USPS or UPS ? Does a lower rate with greater delivery options mean greater efficiency? Why or why not?
Amazon is creating its own package delivery service by helping their employees start their own local delivery services. How does this impact your answers/opinions to the above questions
Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.
Some commentators have argued that the failure of the “Super committee” is good thing for the economy? Do you agree?
Case study analysis about optimum resource allocation: - Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..
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Problem based on Oligopoly and demand curve, Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?
Explain the impact of external costs and external benefits on resource allocation; Why are public goods not produced in sufficient quantities by private markets? Which of the following are examples of public goods (or services)? Delete the incorrec..
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Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:
Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..
"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"
Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"
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