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A free-market republican argues against the Pigouvian tax by pointing out that the conditions necessary for the Coase Theorem to produce an efficient equilibrium are present in this situation. Assuming that the republican is correct, describe two methods in which the Coase Theorem could create an efficient outcome. For each method, make sure to identify the amount of paper produced each week and the amount of any fees or payments required for an efficient solution
Explain why marginal cost curves slope downward as firms increase their output from "0”; but, eventually, as output continues to expand, marginal cost curves slope upward and ultimately become vertical.
Suppose that the U.S. the demand for phones is given by P=700-Q that the supply is given by P=200+Q. In Korea suppose the demand is given by P=600-Q and supply is given by P=50 + (Q/2).
q1. suppose that there are two products soda along with clothing. both brazil and the united states produce each
One organization must have high fixed costs also low variable cost also the other must have low fixed costs also high variable costs.
When we use the AFN equation, we assume that the ratios of assets and liabilities to sales (A0*/S0 and L0*/S0) vary from year to year in a stable, predictable manner.
Explain the main channels through which the Fed can influence economic activity. Which theory has provided a better model, Classical or Keynesian, when it comes to prediciting how money affects the macro economy? Explain
Identify some of the costs (pecuniary and non pecuniary) associated with the antitrust behavior (firms having power in the market). Additionally, note the specific antitrust act (Sherman Act, Clayton Act, etc.) under which the violation was investiga..
A nation whose interest rate is rising more rapidly than interest rates in other nations can expect the international value of its currency to appreciate.
What are some fiscal policy recommendations being recommended by current leadership.
Benny decides to buy living room furniture worth $3000. He plans to finance the furniture for two years. The furniture store tells him that the interest rate is only 1%/mo/mo and his monthly payment is computed as follows:
Investors commonly use the standard deviation of the monthly percentage return for a mutual fund as a measure of the risk for the fund; in such cases, a fund that has a larger standard deviation is considered more risky than a fund with a lower stand..
This marginal cost is the only cost associated with the product. Illustrate what are the profit-maximizing price also quantity. Illustrate what are your optimal price also quantity.
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