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When transaction costs are low enough, efficient resource allocation will follow regardless of the particular assignment of property rights. When transaction costs are high enough, efficient resource allocation requires assigning property rights to the party who values them the most. Give an example of each case
Explain the difference between adverse selections also moral hazard in insurance marketplaces.
Advise the firm on how to plan production in the coming month if average income is set to increase by 12%.
Illustrate is the income elasticity of demand for yo-yos. At what price will total revenue realized from their sale be at a maximum.
Key concepts to include in your paper--data trends on unemployment, inflation, GDP growth, expansionary fiscal policy tools, FOMC, easy money policy tools and other terms from this class.
Trace a copy of this diagram. Graphically depict the substitution and income effects. 2.2. Which effect is strongest? How can you tell?
q1. a firm in a purely competitive industry is currently producing 1000 units every day at a total of 450. if the firm
Illustrate what is the purpose of macroeconomic models. Explain how a model of ice cream production can be used to explicate 50-fold income differences across countries.
What is the inflation year over this year? What nominal or money interest rate would the investor receive?
Using the following table, compute the 95% confidence intervals for the expected annual return of the four different investments.
If a large-scale war resulted in massive destruction of physical facilities, but not loss of life
suppose that the other firm holds its rate of output constant, solve for the optimal output of each firm. What is the total profits of the two firms.
Explain how does a decrease in foreign price levels affect domestic aggregate expenditures and demand. How is the aggregate supply curve different from the supply curve for a single good, like pizza.
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