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How can regulators balance the views, costs, and benefits of the local residents/hunters with those of wolf/animal rights activists?
What is this firm’s marginal cost function? Over what range of output are the firm’s marginal costs decreasing? Increasing?
A local newspaper headline? blared, "Bo Smith Signed for? $30 Million." A reading of the article revealed that on April? 1, 2014, Bo? Smith, the former? record-breaking running back from Football? University, signed a? $30 million package with the Da..
Lucy and Melvin share an apartment. They spend some of their income on private goods like food and clothing that they consume separately and some of their income on public goods like the refrigerator, the household heating, and the rent, which they s..
Two Cournot competitiors, Nick Limited(firm 1) and Junior LLC(firm 2), face an inverse demand curve p = 400 - 2q in the market (q = q1 + q2). Both producers have a marginal cost of $10 per unit. What is the reaction function for Nick Limited? How man..
q.assume that each criminal i has the following utility function uibo-fo2 where onumber of crimes committed bper unit
One suggested remedy for high drug prices in the US is the re-importation of drugs at lower prices from other countries. Do you think this re-importation of drugs is a good idea? Why or why not? What are the costs and benefits of this practice?
We started the course with a look at NBER data on business cycles. Specifically, we saw prior to 1945 that recessions lasted on average about 2 years, and after 1945 the average recession was cut in half (to just under 1 year). Based on what you’ve l..
If a project costs $100,000 and is expected to return $25,000 annually, how long does it take to recover the initial investment? What would be the discounted payback period at i=15%? Assume that the cash flows occur continuously throughout the year.
Conclude how fixed and variable costs should be adjusted to maximize profit and identify methods to reduce costs.
Assume an oligopoly market with two firms. The inverse demand function and cost functions are as follows: P=150-2(Q1+Q2) and C1=20Q1 and C2=28Q2. Calculate: a. Cournot dupoly equilibrium output, price and profit, b. Stackelberg equilibrium output, pr..
The recent drop in the price of gasoline and oil has had several effects on the US economy. What pricing model we have considered best represents the market for oil? Defend your answer. Use your model to explain how a moratorium on fracking in the US..
A proposal has been advanced to limit advertising of pharmaceutical prices to prevent unfair pricing by national chains. You estimate that limits on price advertising will change the price elasticity of demand from -5.63 to -4.43. From the pharmacis..
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