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Describe the mission of the World Trade Organization. How effective are they in pursuing this mission? What do you see as the future outlook for the WTO? Be sure to consider both challenges and opportunities.
Suppose that the economy is short of its full-employment (potential) level of GDP, assumed to be $14,000 billion, by $500 billion.
Select a U.S. multinational company. In terms of currency denomination, discuss how the firm prices its revenues and costs.
The Baby Boomer generation is aging and will require more health care support over the next some years. Tens of thousands of nurses and primary care physicians will be required to meet this demand.
Elucidate the differences between private goods, public goods, natural monopolies, and open-access goods. Provide examples of each with your explanations.
In early 2001 investment spending sharply declined in the United States. In the 2 months following the September 11, 2001, attacks on the United States, consumption also declined. Use AD-AS analysis to show the two impacts on real GDP.
A monopolist faces market demand given by P = 200 – Q. For this market, MR = 200 – 2Q and MC = 3Q. What quantity of output will the monopolist produce in order to maximize profits?
Consider a 2-company Cournot model. Let ci (i=1,2) denote firm i's cost per unit of output produced, and suppose that c1 > c2 .
Suppose two firms 1 and 2 compete in quantities and face a demand curve p = 100 - q. Suppose firm 1 has a constant marginal cost of 10 while firm 2 has a constant marginal cost of 40. Suppose they produce quantities simultaneously. a. Find q..
An analyst is trying to determine the net social benefits generated by the city's public swimming pool. At the current admission price of $1.00, 400 individuals visit the pool annually. The total cost of the pool is $800 annually. Thus, the pool r..
If the CPI went from 106 to 111 during the past year, Illustrate what was the rate of inflation.
For each hour of work, the employer deducts $1 and sends the money to the city government. The initial wage (Before the tax) is $10, and total employment is 20,000 hours per day. Use a graph to show the effect of the tax on the equilibrium wage an..
Suppose a small city dry-cleaning market, which is monopolistically competitive. Currently, the typical dry-cleaner is charging $5 an product.
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