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How do prices and wages perform functions similar to 'central planning' in planned economies? What limitations does central planning have that the price system does not? What does Friedrich Hayek have to offer in terms of how prices inform customers? What do you think about the price systems effectiveness as compared with Central Planning?
Suppose there are two consumers, A and B, and two goods, X and Y. Consumer A is given an initial endowment of 3 units of good X and 8 units of good Y. Consumer B is given an initial endowment of 3 units of good X and 4 units of good Y. Suppose the..
There are, on average, 150 new migrants entering Hong Kong from the mainland every day. Use a diagram to explain how this affects the equilibrium wage and quantity of labour in Hong Kong. Substantial foreign capital has been flowing into mainland Chi..
How can organizations mitigate commodity price volatility? What factors exist that facilitate or hinder the ability of firms to implement the techniques discussed in class to mitigate commodity price volatility risk?
Suppose two types of students, those from rural areas and those from urban areas, apply to college. There are only two types of performances, excellent and poor. It has been found that a higher percentage of urban students perform poorly than rural s..
What are the fundamental differences between cost-benefit analysis and cost-effectiveness analysis? When is each most appropriately used? (Explain)
Discuss the pricing policy of price discrimination. Provide the economic reasoning for movie theaters, airlines, and many other businesses
Why might bad cars drive good cars out of the used-car market. Give at least two possible solutions to resolve this paradox.
Your organization has multiple locations with at least 50 clients at each location. You have been tasked to set up a WSUS infrastructure. What kind of WSUS infrastructure should you implement and why?
The North American Free Trade Agreement (NAFTA) is a trade agreement between the United States, Canada, and Mexico whose purpose is to eliminate tariffs between the countries and promote all aspects of international trade.
Should the United States pass a minimum wage that assures all workers earn a wage above the poverty level? Defend your position using economic principles. The response to this question is not as straightforward as it might seem. Consider the poverty ..
If the returns of the risky portfolio are normally distributed, what is the probability of returns being less than 29%.
Imagine that a $10,000 ten-year bond was issued at an interest rate of 6%. You are thinking about buying this bond one year before the end of the ten years, but interest rates are now 9%. Calculate what you would actually be willing to pay for this b..
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