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Dr. Falk is a dentist who performs two basic procedures: filling cavities and whitening teeth. Falk charges $50 per cavity filled, a process that takes him 15 minutes per tooth and requires no help or materials. For tooth whitening, a process requiring 30 minutes, Falk charges $150 net of materials. Again, no help is required. Is anything puzzling about Falk's pricing pattern? Explain your answer.
Would this prevent employees from being affected by the higher tax? Draw a diagram to illustrate your answer.
How does a monetary expansion (in an economy with flexible exchange rates) affect net exports?
What quantities of cars and beer does Germany produce? What quantities does Japan produce?
If the monopolistic competitor described by Exhibit 3 is producing at the profit maximizing (loss-minimizing) level of output, it.
Compare Country Alpha with Country Omega. Which country would you expect to have a higher unemployment rate in each of the following situations?
By what multiple will the deadweight loss increase? (You may assume that at the new tax, the equilibrium quantity is positive.)
She has three credit cards with the following loan balances and APRs: Card 1, $4,500, 21%; Card 2, $5,700, 24%; and Card 3, $3,200, 18%. Interest compounds monthly on all loan balances. A credit card loan consolidation company has captured Mary's ..
In the game above, how much does Labor earn if they can move first?
Everything else being constant, what could you infer about the average quality of U.S. workers? Would this have any implications on the perspectives for future growth in the United States?
Suppose there are 100 firms in the economy. Let us call them firm 1, firm 2, and firm 100. For firm j (j=1,2,100) the labor demand (or equivalently MPN) is Nj = 1 - 0.02w where w is the real wage. Note that labor demand function for the whole econ..
Give an example, other than ones in this text, of a measure, two dimensions related to your measure, and a cube.
Calculate Pam's uncompensated wage elasticity. Is it positive or negative? What does this say about the relative sizes of the income and substitution effects
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