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1. Discuss two reasons that government should intervene in the operation of free markets and give two examples of real-world government policies or programs motivated by these reasons. 2. Since education yields private market returns, which are fully captured by the person who makes the investment, the market will provide the optimal level of education and the govern- ment should not intervene. 3. The Tiebout model states that the correct level of public goods will be provided by the local government (only consider public goods provided by the local government.) Discuss the underlying assumptions and whether you believe they hold in reality.
Canadian GDP whether measured by the value added approach, the expenditure approach, or the income approach.
A firm has a fixed cost of $500 in its first year of operation. When the firm produces 100 units of output, its total costs are $4,500. The marginal cost of producing the 101st unit of output is $300. Illustrate the total cost of producing 101 uni..
Elucidate how would a gradual increase in the percentage of fathers who stay home to care for young children while their wives continue working ultimately alter the male-female wage gap.
PL is the price of unskilled labor in dollars (the wage rate = $6), PC is the price of capital as a percentage, I is family ncome also PS is the price of California oranges.
They found that getting larger was painful it involved a lot of new administrative infrastructure to get everything organized
Illustrate what price should the firm charge if it wants to maximize its profits in the short run. What arguments can be made for charging a price higher than this price.
Find out QD and QS when cost of good X is $12.00. Is re a surplus or shortage. Illustrate what should happen to cost of Good X to drive it to Equilibrium.
You have a credit-card debt of $16,986 and the interest rate you are paying is 14%. You have been making the minimum monthly payment (assume that the minimum monthly payment is 1.8% of the remaining balance) and you are not continuing to make cha..
Explain how does a rise in the unemployment rate affect your chances of finding a job which would match your qualifications as a college graduate.
Illustrate what is the smallest value of x that would be sucient to make Buck want to invest in the pinball palace rather than have a wealth of $24,000 with certainty.
Both antritrust policy and industrial regulation deal with monopoly. Illustrate what distinguishes the two approaches. how does government decide to use one form of remedy rather than the other.
If 100 % of deficit is financed by sale of securities to federal agencies, illustrate what happens to amount of debt held by public Illustrate what happens to level of gross debt.
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