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Question 1: How does a per-unit tax influence a perfectly competitive market?
Question 2: How does a lump-sum tax influence a perfectly competitive market?
Question 3: How does the imposition of an effective price control influence a perfectly competitive market?
Selling price to Yumminess at $10 per tin. The cost is $8 per tin, which includes $6 of direct material and $1.50 of direct labor. Annual manufacturing overhead is estimated at $100,000 for the expected sales of 200,000 tins. Operating expenses are p..
The Sherman Anti-Trust Act. If competition decreases in a certain industry. Under perfect competition. The Clayton-Anti Trust Act
Describe an efficient market. Give the theory, implications, and empirical evidence about the three forms of the efficient market hypothesis.
A monopsonist’s demand for labor can be written as VMPE = 40 – 0.004ED. Labor is supplied to the firm according to w = 5 + 0.01ES. Thus, the firm’s marginal cost of hiring workers when it hires off of this supply schedule is MCE = 5 + 0.02ES. (a) How..
Suppose there are two types of shirts available to Carl: red shirts and black shirts Carl is always willing to exchange three black shirts for one red shirt. What type of preferences is mike exhibiting? Are Carl's preferences monotonic? How do you k..
Prove that if the weak preference ranking R is transitive then the corresponding strict preference ranking P (using the definitions we gave in class; this is always understood whenever we are talking about indifference and strict preference) is also ..
Sea lions have been depleting the stock of steelhead trout. One idea to scare sea lions off the Washington state coast was to launch fake killer whales, predators of sea lions. Make a table showing the total cost and average total cost of producing 1..
Consider a game in which there is a prize worth $30. There are three contestants, A, B, and C. Each can buy a ticket worth $15 or $30 or not buy a ticket at all. They make these choices simultaneously and independently. Find all pure-strategy Nash eq..
You are a division manager at Toyota. If your marketing department estimates that the semi annual demand for the Highlander is Q=150,000-1.5P, what price should you charge in order to maximize revenues from sales of the Highlander?
Is the concept of economic performance, together with the practice of using economic performance measures (variables) that are either money amounts or are constructed from several money amounts, a valid, objective tool to measure value? Defend your a..
Which of following arguments is president using to justify trade restriction on ball bearings.
Life Cycle Cost Analysis (LCCA) does not include "User benefits resulting from project" or "Externalities resulting from project". Unlike analysis based on net annual worth, net present worth analysis does NOT require equal analysis periods for diffe..
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