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In health economics, define what is meant by intensive margin and extensive margin. Thinking about a diagnostic test such as breast cancer screening, describe what it means to increase the use of the test (1) on the intensive margin and (2) on the extensive margin. (In each case, some good will be done, but will more good be achieved than harm, considering ALL costs?)
The president of the United States explains that it is necessary to impose trade restrictions, such as a tariff, on the steel-rod industry to protect workers in the domestic steel-rod industry. The president claims that without trade protection, ther..
Consider a firm for which production depends on two normal inputs, labor and capital, that are not perfect complements. Initially the firm faces market prices of w = 10 and r = 8, for labor and capital. These prices then shift to
If a household`s income rises from $46,000 to $46,700 and its consumption spending rises from $35,800 to $36,400, then
If the Brazilian demand for American exports rises at the same time that U.S. productivity falls relative to Brazilian productivity, then, in the long run, ________, everything else held constant.
At 6% interest, how much money is required in the trust fund to provide for the laboratory and equipment and its perpetual operation and equipment replacement?
how the change in money supply affects investment demand and as a consequence, aggregate demand. What role dose the spending multiplier play in this process?
Suppose you have $50,000 annual disposable income and would like to spend 30% of the income on the mortgage payment. Find the highest affordable house price if a 30-year mortgage rate is 6.0%. Due to low interest policy, as of January 10 of 2015, the..
Illustrate what is the money multiplier. Illustrate what is the available lending capacity.
Compare and contrast free and fair trade. After reading the case study “Fair Trade Coffee: What are the similarities and differences in free versus fair trade arrangements? How are these reflected in the actual prices of coffee? Are fair trade princ..
Suppose the total market demand is composed by the demands of two consumers A and B. Their individual demand is: QA= 10 − 5P and QB = 4 − P. Calculate the total demand function. List detailed steps. (Hint: remember to check the kink point).
Which of the following is not a valid point in debating the merits of increasing government expenditures or cutting taxes during a recession?
A pharmaceutical company has hired you to perform an economic analysis on a currently ongoing project. Experts from the company have estimated the market for the drug and thus the potential revenues for the drug are knows, but the relevant costs are ..
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