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Q1. Using demand also supply analysis, explain why this new process will not cause a surplus of crude oil. If no surplus is created, then illustrate what will be the impact of this process on the marketplace for crude oil?
Q2. Is it possible to have diminishing returns to a single factor of production also constant returns to scale at the same time? Explain briefly.
Q3. Assumes that wheat producers lobby the government for a price floor also receive one. This price floor is set at PF. Illustrate what has occurred to the producers' surplus as a result of the imposition of the price floor?
Explain what occurs when a new technology makes another one obsolete in terms of economic profit.
Small country Alpha exports lumber products obtained by cutting Alpha's forests. Cutting the forests creates negative external effects in Alpha.
Do sibs have the expected effect. Explain. Holding medic and feduc fixed, by how much do sibs have to increase to reduce predicted years of education by one year.
Illustrate what are the benefits also costs to the US economy of labor migration (illegal also legal) into the United States from Mexico.
Unusually good weather which improves crop production also a major oil discovery are examples of unexpected supply shocks in the economy
What performance percentage would you use to trigger executive bonuses for that year.
How large is the bias in the CPI due to not immediately incorporating new goods.
Elucidate how they will help to improve the GDP as a tool for measuring the well-being of a nation.
Explain how it is possible for one of two people in a two-good economy to have an absolute advantage in producing both goods, but trade can still benefit both people.
Calculate the Golden Rule level of capital per effective worker and the saving rate associate with this steady state.
How much income will each acre generate. What are the TR moreover MR for each acre.
A also the new allocation B. Include indifference curves that is consistent with this trade being optimal for both Michael also Tony.
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