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Hotelling’s rule. Using the (graphical) two-period model for a nonrenewable resource, analyze the effects of the following on equilibrium prices and quantities in the market for that resource:
(1) an increase in the interest rate
(2) an increase in second-period population
The efficient price of a license fee is determined by the difference between ... Which one of the following is least likely to be considered a public good? The two characteristics of a public good are: Which one of the following goods can be consider..
Assume that the monopolist has a cost that is always increasing with the quantity produced: C0(q) > 0 for every quantity q. What happens to the monopolist's quantity when the price elasticity of demand is always less than or equal to 1? Justify your ..
Illustrate what is the opportunity cost (in civilian output) of a defense buildup that raises military spending from 4.0 to 4.1 percent of a $14 trillion economy.
Discussion on game theory concept, basic application for planning also how game theory is used to model behavior; types of games and how they are played.
Offshore production is a trend of assembly of a good in another country and then shipping it back to the US (or the primary sales market). Offshoring became popular in the late 1970s and was an issue in the recent presidential elections. Say you have..
How much labor should the firm employ? What are its resulting output and profit? What effect will this have on the firm's optimal output? Explain.
q.a major producer of consumer goods set out to forecast the price of fresh salmon three years ahead. such a forecast
Graphical demand and supply analysis, explain the impact on price and quantity in the market for petrol if oil production is disrupted.
Illustrate what is the probability that the defense defends the right hand side. Explain in words what the expected outcome will be.
Compute the new equilibrium wage and the new number of jobs. Will the number of jobs increase or decrease.
Which resource of production is the only one which nations can significantly increase in the short term.
Suppose that Congress passes a constitutional amendment requiring the U.S. government to maintain a balanced budget at all times. Thus, if the government wishes to change government spending, it must always change taxes by the same amount, that is "G..
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