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An outcome that can result from either a price ceiling or a price floor is:
a. an enhancement of efficiency.
b. undesirable rationing mechanisms.
c. a surplus.
d. a shortage.
Illustrate what kind of gap-inflationary or recessionary-will the economy face after the shock, and what type of fiscal policies, giving specific examples, would help move the economy back to potential output.
According to studies undertaken by the Department of Agriculture, the price elasticity of demand for cigarettes is approximately -0.3 and the income elasticity is approximately 0.5.
A farmer uses a piece of land with the following accounting costs to grow a crop worth $1800. If a normal rate of return is $100 on such an investment, what will the value of the land be for use during this time period?
Consider a market containing four firms, each of which produces an identical product. The inverse demand for this product is p = 100 ? Q. The production cost for each firm is identical and given by C(qi) = 20qi , i = 1, 2, 3, 4. This means that for e..
The Center for Medicare and Medical Services reported that there were 295,000 appeals for hospitalization and other Part A Medicare service. Compute the probability that none of the appeals will be successful. Compute the probability that exactly one..
If a $24 per share stock has a P/E ratio of 20 and pays out 40 percent of its profits in dividends, How large is its dividend? What is the implied rate of return?
illustrate what would take place in the US marketplace for loan able funds. In particular to US interest rate, savings also investment.
q1. suppose your elasticity of demand for your parking lot spaces is -2 and the price is 8 per day. if your mc is zero
q1. following the passage of comparable worth legislation unity college responds by placing salaries at w a between the
Assume the market for fertilizer is perfectly competitive and is in equilibrium. Draw a graph for the Supply and Demand for fertilizer as well as a graph for the individual firm. A change in the weather causes an increase in demand for fertilizer. Dr..
Firm B has invested five years and $6 million in developing a new product. Even now, it is not clear whether the product can compete profitably in the market. Nonetheless, top management decides to commercialize it so that the development cost will n..
A small Indiana town has one resident who uses and enjoys the local bowling alley. The marginal benefit of bowling for that resident is given by MB=50-7Q. The manager at the bowling alley has set the price of a game at $20. What is the total benefit ..
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