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Explain why an increase in the wage rate for autoworkers will generate more of a negative employment response in the long run than in the short run. Assume there is no productivity increase and no change in the price of nonlabor resources.
What is the difference between a proportional tax and a progressive tax? What are the problems of progressive taxation as a means to achieve greater equality in income distribution?
Each year since winning control of the House of Representatives in the 2010 election, Tea Party Republicans have argued that we need to immediately initiate sharp reductions in government spending and entitlement programs and rapidly move towards a b..
Define the “natural rate of unemployment” and show that its two equations are equivalent. What are its causes and what is its significance for public policy? Define “structural unemployment” and explain its causes. Use a labor market diagram to show ..
Pick a policy issue which illustrates bootleggers and Baptists story. Who is who. What enables persistence of relationship. You may find this podcast helpful in understanding concepts and providing examples.
how would two of the rbas policy objectives are conflicting? please give an example. which of the goals would the rba
Illustrate what is Nurd's equilibrium evel of income. Illustrate what is likely to occur in the coming months if the government takes no action.
A local landfill currently charges $100 per half ton load of waste to dump. The marginal costs to the landfill of operating the dump are about $60 per half ton load of waste. Assuming the landfill pricing is dynamically efficient, what is the MUC of ..
Suppose that market demand for golf balls is described by Q=90−3P, where Q is measured in kilos of balls. There are two firms that supply the market. Firm 1 can produce a kilo of balls at a constant unit cost of $15 whereas firm 2 has a constant unit..
In a Tragedy of the Commons scenario, the commons production function is F(X)= 1.6X - 0.2X^2. The rate of return outside the commons remains 0.1. Find the symmetric Nash Equilibrium when there are seven players. Is your solution tragic?
The political independence of central banks is an increasingly important issue in the global economy. What is the global trend in the political independence of central banks? Is this good or bad for the global economy? Explain with examples.
When a system of pollution rights is in office, polluters have no economic incentive to reduce the amount of pollution they generate. Over time banks have become more efficient at using bank capital and thus use less of it relative to the assets they..
A facility for a production plant can be purchased for 155,000 with a down payment of 25,000.
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