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The park service wants to restrict the number of visitors to Yellowstone National Park to Q*, which is fewer than the current volume. It considers two policies: (A) raising the price of admissions and (B) setting a quota. Compare the effects of these two policies on consumer surplus and welfare. Use a graph to show which policy is superior according to the welfare criterion.
Explain how Steve Jobs revolutionized 6 industries (personal computers, animated movies, music, phones, computing, digital publishing. Describe his marketing strategy.
OPEC successfully raised the world price of oil in the 1970s and early 1980s, primarily due to:
Your diligent effort will allow you to decide how much of your product to provide and allow you to place it on market shortly before your competitor will be able to make its product available for sale. What output level will you choose and what pr..
Suppose the city eliminates its restrictions on books stores, allowing additional stores to enter the marketplace.
Draw a Keynesian cross graph and assume that macro economy starts and ends at equilibrium. Label the initial aggregate demand line AD0, Then show what happens in the diagram when a rise in consumer wealth raises C in your diagram. What is the initial..
Suppose a war breaks out in the Middle East, which raised the price of gasoline in the United States. How would this impact the supply and demand for gasoline in the Unites States? Please illustrate using a graph and explain in words.
Are innovative product and service offerings ethically neutral? Consider Napster and the intellectual property issues associated with swapping music over the Internet as an example to begin the discussion.
Explain how many cars does the United States export. Suppose a car costs $10,000 on the world market. How much, then, does a barrel of oil cost on the world market.
In the replacement analysis under various circumstances. Briefly summarize what your text calls Techniques 1 (Is Appropriate When Replacement Repeatability Assumptions Hold), 2 (If the replacement repeatability assumption holds, compare EUAC of the d..
According to the augmented expectations hypothesis, if the yield on both one year bonds and two year bonds are the same, would you expect the one year yield in one year’s time to be higher, lower, or the same? Explain your answer.
Evaluate change in costs over period in real terms, first in 2004 dollars and m in 2005 dollars. Are your answers same. Explain why or why not.
Suppose Chen has demand Q = 40 – 2P for streetlights and Abby has the demand Q = 10 – (1/2)P for streetlights. The cost of building each streetlight is $19. How many streetlights are socially optimal? Compare this socially optimal quantity with the q..
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