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Suppose the MWTP in periods 1 (now) and 2 (one year from now) is given by P = 8-0 4q Marginal extraction cost = $2, r = 10%. The available supply is 20 units Suppose 12 units are consumed in period 1 and 8 units in period 2 Calculate the present value of the net benefits for the use of the resources in both periods Show your work Draw the graphs for both periods, using engineering graph paper with fine detail (small squares) I have attached at the end of this file a sample of the paper that I handed out in class. You can scan and embed it in your Word document.
The Body Shop, Timberland, and Patagonia behave in environmentally responsible ways that differentiate them from competitors, build consumer preference, and achieve notable sales and profit gains. This is an example of ________.
Assuming a bank only keeps enough of its reserves to meet its reserve requirement, how much money is created when a bank receives a deposit from an individual of $80,000 and there is a 10% reserve requirement.
Identify four policies the government enacted following the financial crisis. Evaluate what effect these policies would have on the economy from both a short-run and a long-run perspective. Be sure to include: The distinction between the short-run an..
Consider a monopolist that produces a good at a constant marginal and average cost of 5$. The market demand is given by p=53-Q. find the deadweight loss and the consumer surplus and the elasticity of demand (absolute value) at the optimal output
The traditional U.S. auto industry (the Big Three) has struggled for many years against competition from foreign-owned automobile companies. Their struggle was dramatically heightened in 2008 with the world-wide credit crunch and economic slowdown. W..
Under the responsibility scheme proposed by the Hong Kong government, households will be charged for solid waste disposal. Is this charge justifiable from an economics point of view? Explain your answer with a diagram. Is it fair to charge all househ..
At some levels of output Acme's average total costs are less than Generic's, but at some levels of output Generic's average costs are less than Acme's.
How would the value of a firm be affected by the following events? The introduction of a new product designed to increase the firm's cas inflows is delayed by one year. The size of expected cash flows is not affected.
Analyzing and understanding data is an important part of decision making. Econometrics is defined as the statistical methods used to analyze data and make informed decisions. As you are analyzing the data, apply econometrics methods (linear regressio..
Assume that production is given by Y= K(1/2)L(1/2). First, write the production function in per person terms (y=f(k)). Next, assume that the per person level of capital in the steady state is 4, the depreciation rate is 5% per year, and population gr..
Mary consumes two goods, Diet Coke (X) and Cheeseburgers (Y). Mary’s Utility function is represented by U(X,Y) = 3XY2 . Her marginal utility function for X is MUx = 3Y2 . Her marginal utility function for MUy = 6XY.Write an expression for Mary’s budg..
The consensus of economists and business analysts is for faster economic growth in the U.K. relative to the U.S. Firms in the U.K. are also projecting excellent profits. What are the implications for the exchange rate of the dollar for the British po..
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