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What is the “Learned Hand” formula? Where is it used? Can the formula be used as a criterion to evaluate efficiency?
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illustrate the effect of an increase in P2 on the consumption of both x1 and x2. Label income and substitution effects for both goods.
Monsanto, Corp paid dividends of $2.80 last year. Over the next three years the earnings and dividends are expected to grow by 10% per year. Thereafter, assume that the dividends will grow at a 5% rate forever. If investors required return on Monsant..
Consider the production function q=4L^.3K^.8. K is not fixed in the long run. Graph the isoquant for Q=4. Identify and label 3 points on the graph. Calculate MRTS and determine slope of the isoquant of the three points you identified. label the slope..
Movies are distributed in a variety of forms, not just first run theatrical presentations. What other ways are movies distributed. What are the different price points.
where p is the input price, and a, b, α, β > 0. Find the profit-maximizing price and quantity of the input the monopsonist will choose, and compare the analysis to that of the profit-maximizing monopoly
Suppose the government imposes an ad valorem tax on coal producers of 7% of the sale price. What is the competitive equilibrium in the absence of the tax? What is the competitive equilibrium with the ad valorem tax? What is the change in consumer sur..
Suppose the demand curve for corn is QD =20−1/5P. Suppose that one firm owns the production of corn all over the world and has marginal cost of 10. Does the monopoly sell less output than would be sold in a competitive market with 72 equal-sized firm..
On a trip to the grocery store you want to purchase oranges, but the price is pretty high due to the canker disease that has affected the crops. What are your choices? Do you have alternatives? What causes a shift in the demand or supply of oranges (..
Elucidate what is the effect of such tax on economic efficiency also the effect on economic equity. Do you think this was a popular tax.
Some analysts claim that many wealthy depositors prefer maintaining accounts with large “too big to fail” banks, even if they could earn higher interest rates from smaller banks. Briefly explain why these depositors use this strategy?
Assuming that the price of fuel is $5.00/G and is increasing at a rate of 4%/year while the discount rate is 6% calculate the equivalent level zed price over 20 years
An ironic twist in Rawls’ Theory of Justice is that although he claims to base his theory of rights on the natural law theory of John Locke and Kant’s deontology, it turns out in the end to be a version of _______________
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