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Suppose that the free trade price of a good is $12 and a 10% ad valorem tariff is put in place. Domestic production in a small country rises from 2000 units to 2300 units & domestic consumption falls from 2600 to 2500 units.
What is producer surplus after tariff?
What is consumer surplus after tariff?
What is society's dead-weight loss after the tariff?
How does an equivalent subsidy affect the market? what is the cost to the government of this subsidy? Which policy would consumers prefer?
a professsionl society whoes dues are normally 100 per year is offering life memebrships for 1250. assume you are a
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George caught 300 fish and 10 wild boars. John grew 300 bunches of bananas. The 2 person economy that George & John set up, fish sell for 1 clamshell each, boars sell for 10 clamshell each
Compare and contrast the continuous current account deficits of the U.S. with the continuous current account surpluses of Japan - Review the definitions of balance of payment and current account.
Why is the interest rate on a security sold by a city government usually less than the interest rate on a security sold by a corporation if both have comparable default risk?
Explain the environmental Kuznets curve. What does it show? How is it constructed? Is it really useful in predicting the path of environmental d degradation and recovery an hypothetical country is on?
For simplicity, let's assume that every household has a marginal propensity to consume (MPC) of 0.75. If the government implements a fiscal policy involving its purchases of goods and services
firms that compete with each other cournot game with identical cost function mc0 and the inverse demand py100 - y where
people with bad credit were getting higher interest rates than people with good credit. the main reason is because the
Carl is deciding whether or not to make a farm. If he makes a farm, he will earn a $50,000 grant from the government. For every 100 head of cattle that he increase and sells.
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