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1. Read the March 1, 2012 Chicago Tribune article Chicago-are gas tax hike proposed to fund mass transit investment. The article has been posted, Please use the link above.a. If you rely on mass transit what does this proposed tax hike mean to you personally?b. If you drive to school/work what does this proposed tax hike mean to you personally?c. How does this proposed tax hike affect the social cost of gasoline consumption in the short-run? In the long-run?d. Do you support this proposed tax hike? If yes defend your position? If not provide an alternative policy? (Answer as an economists, not as a mass transit user or driver).
Make a brief history of the FEDERAL RESERVE system and explain the organizational structure of this agency as well as the role the Fed has in drafting and implementing United State Monetary policy.
Between your answers to parts b and c, which prices/capacity are best applied from a social welfare perspective? Why?
Explain why this strategy may, in fact, be rational. Also, identify at least two other strategies that might permit Argyle to earn higher profits.
If this year's profit (end of year 1) is expected to be $6,000 and the profit trend continues (i.e. the profit at the end of year 2 is $7,200 and so on) for four years, find the present worth of the profit at an interest rate of 9% per year.
Describe the economy's stage in the business cycle and evaluate current macroeconomic conditions.
Fiscal policy refers to the use of government expenditures or tax policy to influence the aggregate demand for a specific purpose.
Illustrate what will the exchange rate have to be to discourage Portuguese imports of British goods? Similarly, what will the exchange rate have to be to discourage British imports of Portuguese goods.
Assume that initially the goods and services market is in equilibrium at potential of output and that the government budget is balanced,
You have been hired as a plant manager for a firm that produces widgets (Q) in Angola, Indiana. Widget production requires machine time (K) and labor time (L).
even though they could have sold the units for substantially higher prices. Explain why do you think that the merchants adopted this policy.
The maintenance price rose by 6% per year instead of the fixed amount what is the present value of the maintenance costs.
A pure monopolist determines that at the current level of output the marginal cost of production is $2.00, average variable costs are $2.75, and average total costs are $2.95.
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