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The Haig-Simons approach is widely used as a guide for defining income. What would be the administrative problems in attempting to use this approach in the real world? Why might people disagree with the use of the Haig-Simons definition?
Consider the following data on flows of exports and imports among three nations, and suppose that the “world” is composed solely of these countries: Calculate the following as a share of total world trade. Express your answers as percentages and roun..
Explain how do these two relate to each other in the Circular Flow Economy and to the Government and Foreign Sector components.
Maria has decided to always spend one-third of her income on clothing.
Sierra borrows $175,000 from Regional Home Finance Corporation to buy a home. The loan is a twenty-year, 3/1, adjustable-rate mortgage, with an initial interest rate of 4.0 percent for three years and potential increases of up to 3.0 percent to a cap..
On November 30, 1992, the student newspaper of the University of California at Berkeley illustrated a map identifying “high-crime” areas in Berkeley (see the figure attached). The 11 gray areas suffering more than 200 personal thefts and 75 burglarie..
Consider the following Specific Factors model. Suppose two countries, Home and Foreign, produce two goods, timber and televisions. Assume that land is specific to timber, capital is specific to televisions, and labor is free to move between the two i..
Exhibit 2-8 represents Robin Hood’s production possibilities frontier. Assume that he currently produce at point G inside the production possibilities frontier. He can produce more bows employing the existing resources more efficient. He can increas..
A sprinkler system inside of one house does not protect houses on the other side of town. It also requires the homeowner to purchase and install it prior to benefiting from it. Once installed it can help stop fires from jumping to neighboring homes.
In the short run, a competitive firm has a marginal product of labor, MPL = 5L^ -0.5. The output price is $10 per unit and the wage is $7 per hour. What is the short-run labor demand curve for the firm?
Suppose that the adult population is 9,918, the unemployment rate is 6% and the labor force participation rate 71%. How many people are employed?
Suppose you have been tasked with regulating a single monopoly firm that sells 50-pound bags of concrete. The firm has fixed costs of $10 million per year and a variable cost of $3 per bag no matter how many bags are produced. You find out that if yo..
Suppose that there are two products: soda along with clothing. Both Brazil and the United States produce each product.
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