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Suppose that, from an initial consumer equilibrium position, the price of one good falls while the price of the other good remains the same. Using indifference curve analysis, explain how and why the consumer's relative consumption of the two goods will change.
Select two or more news articles related to the current level of interest rates, and analyze the issue using the economic concepts and theory learned in this class. Develop a 4 to 5 page double-spaced paper that advocates a position on whether there ..
A monopolistically competitive market consists of __________ seller(s), an oligopoly consists of __________ seller(s), and a monopoly consists of one seller. Monopolists: A monopoly: Barriers to entry:
Illustrate what effect does the income tax have on consumption and labor supply? Explain your results in terms of income and substitution effects thoroughly.
For an industry with MAC = 500-2E and MDC = 3E: Calculate the socially efficient tax rate. What is the total compliance cost to the industry if the socially efficient tax is charged? What are the net social benefits of the socially efficient tax?
What is the percent value of the bond in the absence of inflation if the market interest rate is 8%? (b) What would happen to the value of the bond if the inflation rate over the next five years is expected to be 3%?
What is the optimal consumption bundle (a*,b*)? What can you say about this utility function?
The demand for good x1 is given by: (m/p1) - (p1/p2), where p1=1, p2=1, and m=10.Which of the following accurately describes the INCOME elasticity of demand?
Describe the structure and responsibility for policy tools in The Federal Reserve System. Describe what criterion is applied when choosing a policy instrument.
A price-taking ?rm selling in a market with a price greater than the ?rm's average total cost should:
Explain how GDP is measured in your country - explain who would benefit directly and who would lose directly from such restrictions.
Suppose that you have won a wrongful injury lawsuit and have been awarded $5 million dollars. However, the $5 million is going to come in two payments. The first payment is $3 million and will be paid in exactly one year. The remaining $2 million is ..
Find the equilibrium market quantity and price if the market demand is Qd = 320 - 30p. Part four - how much output will each firm produce?
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