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Suppose there are two firms that produce sulfur dioxide emissions, Firm A and Firm B. Each firm emits 30 tons of sulfur dioxide per year. The cost of reducing one ton of sulfur is $200 for Firm A and $250 for Firm B.
a. Firm A would be willing to reduce its emissions by 5 tons if Firm B paid it at least $___________.
b. If Firm B emits 60 tons of sulfur dioxide and Firm A emits zero tons, do social costs increase or decrease?
If Farmia opens trade with a country with identical tastes, what will happen in short run to: Farmia's production of wheat and coffee. What information or theorem did you use as basis for you answer.
What is the capitalized equivalent cost of a dam that will cost $25 million now and will require $2 million in maintenance annually? The effective annual rate is 12%.
Explain your policy combination in details (This is an open ended question) - Which of the policies is/are a monetary? - Which of the policies is/are fiscal? - What are the differences between monetary policies and fiscal policies?
You are an assistant to a senator who chairs an ad hoc committee on reforming taxes on telecommunication services. Based on your research AT&T spends $15 million on related paper work and compliance costs. Depending on the locale, telecom taxes can a..
Given the option to work for a company in a particular market, would you choose to work for a Western Multi-National Enterprise (MNE) such as IBM, moving into a developing country such as India, or would you choose to work for a company from an emerg..
Compute real GDP per person for this nation in 2001, in 2000 euros per person. Round your answer to the nearest euro.
Decision makers expect a 6% increase in the money supply; the actual increase is 3%.What is the current price level?
By what factor does this firm mark up its price over marginal cost? c. Do you think this firm enjoys much market power? Explain.
The primary responsibility of conducting monetary policy rests with the: Credit cards do not fulfill the three functions of money. If there is an autonomous decrease in spending (a leftward shift in the aggregate demand curve) and the Fed wishes to h..
Assume that you borrow $15,000 for five years (annual payments) at a market rate of 5%. Assuming that inflation is 3.5%, what would the equivalent equal annual payment be in constant dollars?
Two players, A and B, take part in a sequential-move game. A moves first, B moves second, and each player moves only once. A has two possible actions: Left or Right. No matter what A chooses, B has three possible actions: Top, Middle, or Bottom. The ..
A country has national saving of $70 billion, government expenditures of $20 billion, domestic investment of $30 billion, and net capital outflow of $40 billion. What is its supply of loanable funds?
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