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Consider a seller who values a car at $9,500 and a buyer who values the same care at $10,000. What total surplus will result from a transaction between the two when the seller is faced with the follow sales tax rates: 0%, 2%, 4%, 6%, and 8%?
an economist might say that collage and universatys "produce" education, using facilty members and students as inputs. According to this line of reasoning, education is then "consumed" by house holds. Construct a circular-flow diagram like the one..
You are a manager of Nvidia and your only significant competitor in the mainstream graphics card market is the ATI subsidiary of Advanced Micro Devices. You and ATI both expect to produce the next generation of graphics card in October of next yea..
Suppose the demand curve for a monopolist is QD=500-P and the marginal revenue function as MR=500- 2Q The monopolist has a constant marginal and average total cost of $50 per unit a. find the monopolist's profit-maximizing output and prices. b) calcu..
Commmon and preferred stock issuances and dividends. Permabilt Corporation was incorporated on January 1, 2003, and issued the following stock, for cash:
Let's assume that thereare no trade barriers and exchange rates are freely fluctuating. At the same time, the European Union develops a technology that reduces the cost of production for most of their exporting products. Explain what will happen ..
Tickets cost $5 to play, and you get to pick a number between 1 and 20. If you guess right, you win $100. If you guess wrong, you win nothing. In either case, you must pay the $5 to play. What is your expected payoff if you play this game
how percapita income fiscal policy laws local economies and census data affect the ability to fund governmental functions.
The annual income from a rented house is $12,000. The annual expenses are $3000. If the house can be sold for $145,000 at the end of 10 years, how much could you afford to pay for it now, if you considered 18% to be a suitable interest rate?
Suppose you tested svereral Firestone tires also recorded their failure times. Decided taht failures are normally distributed.
An industry consists of three firms with identical costs C (q)18q +q2. What is the industry equilibrium (price, output and profits) if the firms have Cournot beliefs?
Explain how does the reserve ratio set by the Federal Reserve affect the ability of banks to make loans. Name the tools of the federal Reserve Bank. Which is most important?
Briefly outline the current state of U.S. policy toward sugar imports and perform an economic cost benefit analysis to evaluate the welfare effects of eliminating import quotas and tariffs.
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