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If the government wanted to encourage a monopoly to produce the socially efficient quantity, should it use a per-unit tax or a per-unit subsidy? Explain how this tax or subsidy would achieve the socially efficient level of output. Among the various interested parties-the monopoly firm, the monopoly's consumers, and other taxpayers-who would support the policy and who would oppose it?
Discuss how does the existence of money decrease the expenses of making transactions, relative to a society based entirely on barter?
W(sub)a= 1/a1(Y1)+1/a2(Y2)+1/a3(Y3)+1/a4(Y4) where a(i) are the constants. a) What restriction on the ai is needed for Wa to be an unbiased estimator of mu? b) Find the variance of Wa.
Do you think the demand for mangoes is price elastic or price inelastic? Explain your answer based on the determinants of price elasticity of demand.
Timmy told the director of Human Resources that $30,000 was not enough money to get him to settle and that he was going to file a lawsuit against University for age discrimination. University Tool and Dye had not yet received Timmy's signed settl..
Mary Smith, a customer, buys the Best product to use in the demolition of her office building. Due to a defect in the product, John Doe, an employee of Mary's, is injured. He sues Mary Smith, Best and AI. Discuss the ramifications of this case if ..
Determine which of the following is most likely to indicate statistically significant regression coefficient? Assume the price elasticity of the supply of cheese is 0.80. If the price of cheese rises by .20 percent,
A perfectly competitive market and the perfectly competitive potato producers in Prince Edward island, the market demand curve rot potatoes
The "crowding-out effect" suggests that A. excessive population in the cities is pushing people into the suburbs.B. if consumption spending increases investment spending must decrease. C. tax increases are paid primarily out of saving and, therefore,..
For many years, your company has been protected through patents, Technological change and introduction of new products have been slow.
how many units should be produced by plant 1 and plant 2 to maximise profit for this monopoly
What are the major reasons a multinational corporation would engage in Foreign Direct Investment (FDI)? Explain the factors in Michael Porter's "Five Forces Model" which affect the capability of any firm in an industry to earn the profit.
You work for the company that is being accused of monopoly behavior, given its large size. Comparisons are made to the industry standard, where each establishment has on average about 15.1 employees.
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