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Q1. Suppose the supply of coal is perfectly inelastic, and the price elasticity of demand for coal is -0.4. If the government imposes a binding price ceiling for coal at a price that is 20 percent below the market equilibrium price, what is the impact of this policy on the market quantity?
Q2. In the article "A Perspective on Inflation Targeting", Ben Bernanke dispute to facilitate the depth of the 1973-75 recessions was reason only in part by amplify in oil prices per sec. Does the aggregate demand-aggregate supply model support Bernanke's thesis?
Can you find a Nash equilibrium in pure strategies that is not efficient. Find the sub game perfect equilibrium as a function.
Compare the effects of the two policies, based on the models developed. Why might the United States have preferred one policy over another.
If today's production of capital goods exceeds the depreciation of capital.
These 3 basic trade-offs include which goods or services are to be created, how to create them, also who gets them.
In your opinion, are the resources you devote to your education a form of consumption or a form of investment.
On one hand, the WTO's role in international trade is becoming more significant. On the other hand, its verdict on the Brazil's Embraer versus Canada's Bombardier case did not seem to solve the problem.
Each station's objective is to maximize its viewing audience, in order to maximize the station advertising revenue.
Assuming that land and labour are complements in a farming production function, what would happen to the wages earned by workers and the rents earned by landowners in Texas.
Explain how the U.S. economy may self-correct back to the long-run equilibrium where actual GDP equals to full GDP and there is full employment.
Find the equilibrium price and quantity after the shift of the demand curve.
Explain what occurs when a new technology makes another one obsolete in terms of economic profit?
Calculate the firm's optimal output and profits if prices rise to $65 per unit and also calculate equilibrium output, price and profit levels if the firm is typical in its industry.
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