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We said that an uncrowded country club golf course has aspects of a public good. Why? Is it still public good if it becomes crowded and people’s games are slowed down?
(Remember to answer this question with economic principals reasoning)
The U.S. imposes a quota of 45 million units per month on this good and what will be the price U.S. consumers will pay for the good now?
Suppose that a lottery winner deposit $20 million in cash into her transactions accounts at the Bank of America (B of A). Assume a reserve requirement of 25% and no excess reserves in the banking system prior to deposit.
when the government increases taxes to provide traditional public goods, such national security, there tends to be what. marginal external cost equals marginal private cost minus marginal social cost.
1. What shape did the short-run aggregate supply curve have during the 1930s, according to Keynes? Explain
Potato chip industry in Northwest was competitively structured and in long run competitive equilibrium; companies were receiving a normal rate of return and were competing in a monopolistically competitive market structure.
The cost of transporting goods and the price of obtaining information has decreased substantially over the past 100 years.
Various economic decision makers exist within an economic system. List and briefly discuss the various role players in the economy.There are four role players
A profit maximizing monopolist is earning a postive economic profit. If workers wages rise, what happens to price and quantity ?(assume that the monopolist is still earning a positive profit after the wage increase). Is the monopolist better or wo..
Consider now that the entrant, if fought, has the possibility of withdrawin from the industry (at a loss of 1 for the entrant and a gain of 8 for the incumbent), or staying (at a loss of 5 for each player).
Suppose you are the CEO of ClipIt, a paper clip producer. Your firm enjoys a patented technology that allows it to make paper clips faster and at a lower cost than your only rival, FastenIt.
Plot the supply and demand curves on a plot with "Quantity of houses" on the horizontal axis, and "Price of houses" on the vertical axis.
Would you mind sharing with the class a simply numerical example showing how the CPI is calculated. What can you share with the class concerning the substitution bias associated with the CPI.
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