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Governor Walker is frustrated that so many students who receive subsidized education in the uw system move to Chicago after graduating. One recommendation from a big shot at UW-Madison is to designate a 5 by 5 mile area in Milwaukee. Students who move to this zone and work in Milwaukee after graduation will receive tax credits worth 10,000 per year for a few years after graduation.
a) You are told that students demand for housing in the zone is very elastic (ND=-4) but that it is somewhat difficult to add new housing (ns=1). From an economic standpoint, how much of the $10,000 would go to students moving to the zone. How much would go to landlords? b) if rent in the zone would have been $10,000 per year without the subsidy, and 20,000 students would have lived in the zone without the subsidy, how many students will live in the zone if the subsidy is introduced? c) some recent research has suggested that college educated residents generate positive externalities to cities. How large would this positive externality need to be (per student) to justify this policy (hint: compare the program's dead weight loss to the number of new graduating students attracted to the zone)?
Consider the two regressions in Table 2 based on the U.S. data for 1946 to 1975. (Standard errors are in parentheses.) The objective of Hanushek and Jackson's study was to find out the effect of defense expenditure on other expenditures in the econom..
Someone claim that immigration must always be good for economy because the raised supply of labor will result in a higher GDP. Estimate this statement.
When a firm focuses on increasing profitability by customizing the firm's good or services so that they provide a good match to tastes in different national markets, it is pursuing A Localization strategy.
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Does GDP measure the well-being of society?
Jay's Silk Printing Co. is located in a small university town. The major portion of their business is custom printed sweatshirts for university bookstores. As a sideline, they also retail sweatshirts locally. The local demand for sweatshirts is: Q..
The question is, there have been two events that have occurred, first there is a significant decrease in the price of personal computers and the second is there has been an increase in the number of firms providing internet access. What will happe..
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Some years ago, conservation groups paid cattlemen in the Western United States to move their herds away from wild buffalo herds so that the buffalo would have more feed and would not have to compete with the cattle. What is the relevance of th..
answer the question on the basis of the following cost data for a purely competitive sellernbspnbspnbspnbspnbspnbspnbsp
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