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What role is government trying to play here? What is an externality? How does the government of Costa Rica change an externality into a tool for economic development and caring for the environment. How does the government lead the market and lead change? Is this a laissez faire market approach to economic development? Who benefits? Is there a loser?
Illustrtae what does this experience suggest about the determinates of health care costs, and the long-run scope for private health insurance even with subsidy and compulsion.
You have just won a lottery! You will receive $50,000 a year beginning one year from now for twenty years. If your required rate of return is 10 percent,
Explain how the Central Bank can set the nominal interest rate in the money market. In addition, explain how it can use expansionary monetary policy to boost GDP if the economy is in a recession.
Show the price and output that maximizes profit in this graph. Then use math to calculate the price and output that will maximize the firm's profit. Calculate your profits at this price and output level.
Suppose two identical firms produce widgets and they are the only firms in the market. Find out the Stackleberg Equilibrium.
Clipit utilize this advantage to be the first to choose its profit-maximizing output level in the market.
Michael Illitch bought the Detroit Tigers in 1992 for $82 million, which amounted to $114.15 million in 2005 dollars. by 2005, the Tigers were worth $292 million. Calculate the real compound annual rate of return on that investment.
Given the above prices, will the firm adopt a new method which involves 10 units of land, 3 of labor, 2 of capital, and 2 of entrepreneurial ability?
Suppose the following table describes the marginal costs and marginal benefits of waste (garbage) reduction. What is the optimal amount of garbage What is the situation if no garbage is allowed to be produced Percentage of Waste Eliminated/Marginal..
Suppose Sally only purchases food and clothing, and her utility can be expressed as U = F _ C. Currently-What is her optimal bundle?
Suppose Congress (in an attempt to stimulate the economy in both the short and long run) passes an investment-tax credit, which subsidizes domestic investment. How will this policy affect (comparing the state of the economy prior to the enactment o..
EBay claims that it has only a small problem with fraud also misuse of the sytem. Does this imply that it is overinvesting in addressing potention contracting problems.
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