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Suppose that a firm’s long-run average total costs of producing an individual income tax return is $75 when it produces 1,000 returns and $75 when it produces 1,200 returns. For this range of output, the firm is experiencing
Explain whether increases in gasoline taxes are effective means for raising tax revenue. Circa 1990 Colorado decided that long-haul truckers needed to pay for a larger proportion of the wear and tear on the state's highways and increased the tax on d..
A laboratory centrifuge costs $80,660 and has a $5530 salvage value with an 8-year recovery period. The estimated annual operating cost is $7000 per year. Use the double declining balance method with switch over to straight line to determinate the bo..
What is an open-end mutual fund? What determines the value of these funds? Why might you buy a no load mutual fund instead of a load fund? Do load funds perform better than no load funds? Explain the meaning of net asset value (NAV) per share for mut..
Why do Fed policies aim to keep the level of interest rates low in recent years? How have those rates shaped employment, income, and prices? Could these low U.S. interest rates cause inflation?
Suppose there is a bill to increase tax on cigarettes by $1 per pack coupled with an income tax cut of $500. Suppose a person smokes an average of 500 packs of cigarettes per year--- and would thus face a tax increase of about $500 per year from the ..
Health insurance companies are oligopolies, and one of the criticisms of oligopolies is the adverse impacts these firms have on income distribution. Discuss in relation to the policies and practices of health insurance companies.
Apply supply and demand analysis to price determination and predict changes in supply and/or demand Analyze the effects of elasticity on consumer and business behavior
Suppose a firm has a fixed $100 to spend on K=10, W=5. What combinations of inputs can the firm buy? What is the equation for the line that represents all of these combinations?
What is wrong with claiming that changes in the distribution of income are associated with trade instead of the technological changes that the article discusses.
Heckscher Ohlin model with two goods (wheat and cloth) and two inputs (land and labor), suppose price of cloth rises by 10% and the price of wheat remains the same. Wheat is land intensive and cloth is labor intensive. the rise in the price of cl..
Explain the difference between the Industry (external) view and the Resource (internal) view of sustainable competitive advantage. Make sure you explain Porter’s Five Forces model and the resources and capabilities emphasized by the Resource Based Vi..
The interest rate is 25% (0.25), and there is no inflation. Illustrate what is Mandy's optimal consumption in period 1.
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