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Discuss perfect competition and long-run equilibrium. Provide detailed descriptions, definitions and concrete examples of your findings. Additionally, how does the proliferation of global trade and competition contribute to markets moving more away from market-possessing power to more perfect competition? Lastly, when does marginal social benefit equal marginal social cost and why?
A medium sized bakery has just opened in Slovakia. A loaf of bread is currently selling for fourteen koruna over and above the cost of intermediate goods
The extensive application of protective tariffs destroys the ability of the international marketplace system to allocate resources efficiently.
Using the following data calculate Disposable Income:
Suppose the government decides to increase taxes by $20 billion to increase Social Security benefits by the same amount. How will this combined tax transfer policy affect aggregate demand at current prices
Suppose one economist believes the target rate of unemployment is 4.3 percent while another believes it is 5.5 percent. Using Okun's rule of thumb, by how much would you expect their estimates of potential GDP to differ in a $12 trillion economy
What is the net effect on the money supply in the economy? Show your work. Assume instead that Sammy uses the $10,000 he receives to pay back a loan from Bad Boys Bank. $8,000 goes to repay the loan itself, and $2,000 represents his Interest payme..
Consider a bank that receives an initial deposit of $1,000 and loans out the maximum from this that it can. This in turn is deposited into a second bank (which may technically be itself, but that doesn't change anything), which then loans out the ..
What is the importance of trade agreements, and how is international trade related to the standard of living of the United States (as opposed to that of a small industrial nation or to a developing nation)? What significance do trade agreements h..
Asume you are analyzing the market for minivans. What will be the impact on the equilibrium price and equilibrium quantity of each of the following events on the minivan market. Justify your answer using the supply and demand model.
Rita has well-behaved preferences over steak and fries. at her current consumption bundle of 3 steaks and 10 fries, her marginal rate of substitution between steak and fries is 1/2 (in absolute value). if you offered to take away one fry and give ..
Empirical studies reveal a positive correlation among ethical conduct in a corporation and job satisfaction.
"Sweep" accounts are combination checking/money market accounts which large banks currently offer to their corporate customers. These accounts sweep just enough funds out of the money market portion of the account to prevent checks written on the ..
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