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Suppose that in Japan, without a tariff 10,000 cars will be sold per year at an equilibrium price of $20,000. With a $5,000 tariff, supply decreases such that 8,000 cars are produced at $22,500 per car.
A. What is the profit-maximizing price? B. What is the Quantity produced in each Country? C. What are RussCo's total profits if the firm is effectively able to produce in both Countries?
Elucidate why these companies oppose laws allowing reimportation of drugs to the United States.
What is the difference between a quota and a tariff? Which of the two trade sanctions would be more effective and why? please explain it in your own words
Consider the EOQ model with fixed lead time L > 0. Show that the average amount of inventory on order is equal to the lead-time demand.
A used car dealer in Las Cruces placed the following advertisement: $500 down now + $99 for the first 12 months + $199 for the following 48 months a. What is the price of the car if the interest rate is 12% per year compounded monthly? b. If financin..
Suppose that the government wants to raise investment but keep output constant. In the IS–LM model, what mix of monetary and fiscal policy will achieve this goal? In the early 1980s, the U.S. government cut taxes and ran a budget deficit while the Fe..
The Individuals with Disabilities Education Act mandates that states and localities provide appropriate education for all students identified as having special needs. States have responded by funding special education using several different mechanis..
Find a 95% confidence interval for the true percent of car owners in this city who recieved a speeding ticket this year. Evalute your results to the nearest hundredth of a percent.
Honda uses flexible plants in manufacturing of its cars. Discuss where this method of production results in optimum output.
Amalgamated Popcorn, Inc. is a fairly small firm selling bags of flavored gourmet popcorn in a popular mall. Compute the elasticity coefficients for price, advertising, income, and cross-price. You are currently paying $.45 for popcorn (including co..
Find a numerical equaltion relating planned aggregate expenditure to output and to the real interest rate.
Consider the following hypothetical supply and demand schedules for milk, with price (P) expressed in ¢/lb and quantities (Q) expressed in billion lbs: Supply: P = 10 + 0.8 Q Demand: P = 60 – 2 Q. Compute the equilibrium price and the equilibrium qu..
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