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1. Suppose that the market for cigarettes in a particular town has the following supply and demand curves: Qs = P and Qd = 50 -P , where the quantities are measured in thousands of units. Suppose that the town council needs to raise $300,000 in revenue and decides to do this by taxing the cigarette market. What should the excise tax be in order to raise the required amount of money?
2. When gasoline prices reached $3 per gallon, public policy makers considered cutting excise taxes by $0.30 per gallon to lower gasoline prices at the pump. In discussing the eects of the proposed tax reduction, a news commentator stated that the effect of the tax reduction should lead to a price of about $2.70 per gallon, and, that if the price did not drop by as much, it would be evidence that oil companies are conspiring to keep gasoline prices high. Evaluate the commentator's claim.
Illustrtae what is the current cost of a share of stock for a firm with $5 million in balance-sheet equity.
Bassett furniture made to close all manufacturing plants in North Carolina, USA and outsource their furniture production to manufacturing plants in China.
Discuss the three main factors that determine aggregate money demand. Illustrate, with examples, how changes in these factors alter aggregate money demand.
In your own words, discuss the economic purpose of OPEC. Illustrate what has happened to oil prices over the past five years.
Utilizing the Solow Growth Model describe long-run growth in an economy. Explain why an economy should strive to reach its golden rule steady state level.
Explain how might federal deficits crowd out private domestic investment. How does this crowding out affect future living standards.
The demand curve for French plutonium shifts outward, at about the same time as the appearance of the foreign-exchange dollars. Illustrate what happens to the demand for French Francs.
What is opportunity cost of producing a car in Canada? What is the opportunity cost of producing the tonne of wheat in Canada? Describe the relationship between the opportunity costs of two goods.
Then the image of a company goes up as graduate students use theorganizations products." Does such action square with a company's objective of profit maximization
Describe how the topic you select relates to the growth of United State banking overseas. Include data how your topic contributes to interdependence among economies and financial markets, and to global financial stability.
You are considering to save some money. Out of your yearly income you will deposit a fixed amount per semester at a nominal rate of 8 percent per year compounded each 6 months during 5 years.
If the Federal Government is giving more than it receives in tax revenues in an effort to reduce unemployment
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