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Do you understand the difference between absolute and relative advantage and how it relatesto the PPF Curve (IE where each are determined?)
If the labor supply curve is very elastic, a tax on labor:
Suppose that since some base year, the the price index (or GDP deflator) has increased from 100 to 125. During the same time period, NOMINAL GDP has increased from $500 billion to $600 billion. What is the value of REAL GDP at the end of this period ..
A manufacturing company is considering purchasing a 10 HP electric motor which it estimates will run an average of 6 hours per day for 250 days per year. Past experience indicates that: (1) its annual cost for taxes and insurance averages 2.5% of fir..
A company just purchased a new machine, which has a first cost of $320,000. Salvage is estimated at $75,000. Use both SL and MACRS depreciation over a 7-year recovery period, determine the depreciation charge and the book value for year 5,. Explain h..
What is the difference between moral hazard and adverse selection? ?Car Depreciation problem: A common complaint is that a new car will depreciate by 25% as soon as the new owner drives it off the lot. This information comes from resale price data fr..
"Suppose we have an agricultural valley 100km by 50km, with a polluting electricity power plant. The power plant causes pollution problems on a narrow strip of land downwind of the plant, and within this valley 10km in length and 500 m in width, but ..
Depreciable residential rental real property has been purchased for $70,000 and put into service during the third month of the taxpayer's tax year. For the applicable 27.5 year depreciation life, determine the allowable straight line depreciation ded..
Rick sells hamburgers, facing no competition the demand for his burgers is: Q=1000-2P, where Q is the quantity of burgers sold per week and P is the price of a given hamburger. Suppose Rick’s monthly cost is given by: TC= 1000+100Q. What is the value..
The initial cost of a pickup truck is $12872 and will have a salvage value of $3523 after five years. Maintenance is estimated to be a uniform gradient amount of $191 per year, with zero dollar for first year maintenance. The operation cost is estima..
What is soft gatekeeping?
You buy a new pair of shoes on sale. The printed receipt states very clearly that the shoes are not returnable. After you get them home, you wear the shoes around the house for a day and decide that they just don’t fit you correctly.
Joint Distribution of Weather Conditions and Commuting Times
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