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A survey of all recreational fishermen using Lake Chutzik in the Adirondacks (upstate New York) during the summer of 1990 produced the following information regarding their numbers and their residences (zones). Zone 1 is the closest to the park and Zone 5 is the farthest. Each zone has roughly the same population and roughly the same socio-economic characteristics. There is no admission fee charged at the park.
Zone Travel Cost to Site ($) Number of Visitors
1 20 500
2 40 400
3 60 300
4 80 100
5 100 0
Show the change in the market for orange juice that is consistent with the following statement: "When a cold snap hits Florida, the price of orange juice rises in supermarkets throughout the country."
Depict the von Neumann-Morgenstern utility index u in a diagram
What is the cause of the high unemployment rate? One side says there is not enough government spending. The other says it's a structural problem--people who can't move to take new jobs because they are tied down to burdensome mortgages or firms that ..
The president of the Fed announces in a press conference that he will fight the higher inflation rate with a new anti-inflation program. Using the supply-demand framework in bonds market, predict what will happen to interest rates?
Write out the estimated regression equation for heating area based on wattage and what does the value of the regression coefficient "b" tell us in this situation?
Consider a homogeneous-good Cournot oligopoly with n >2 identical firms with C(q) = 0 and P(Q) = e- Q; for Q >0: Find the Cournot equilibrium outputs, price and profit.
Maturity Risk Premium The real risk-free rate is 2.25%, and inflation is expected to be 3.75% for the next 2 years. A 2-year Treasury security yields 9.75%. What is the maturity risk premium for the 2-year security?
Richer individuals will prefer higher levels of government expenditure than poorer ones if A. Taxes are proportional to income. B. Income elasticities of demand for public goods are less than 1. C. Taxes are uniform. D. The median voter’s income is l..
A new gear grinding machine for composite materials has a first cost of P=$100,000 and can be used for a maximum of 3 years. Its salvage value is estimated by the relation S=P(0.85)n, where n is the number of years after purchase. The operating cost ..
This question relates to Growth Annuity. If John takes a job at the local grocery store, his starting wage will be $40,000 per year, and he will get a 3% raise, in real terms, each year until he retires at the age of 53. If Linus lives to be 100, wha..
Assume the monopoly sells its goods in two different markets esparated by some distance. The demand curve in the first market is given by Q1=55-P1,and demand curve in second market is given by Q2=70-2P2.
price is greater than marginal cost and average total cost is not at a minimum. How would it be possible to ‘eliminate' this waste. What would we have to give up.
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