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Differentiate between a change in quantity demanded and a change in demand.
In the three months before a $1 per pack cigarette tax took effect in Alaska, smokers bought 175 million more cigarettes than during the same period a year earlier. What explains this behavior by consumers?
Why do short-run profits in a perfectly competitive industry tend to disappear over time?
Consider the following two good pure exchange economy: Alfred's utility function is U A (x, y) = min{x, y} and Bob's utility function is U B (x, y) = max{x, y}.
Illustrate the maxmium so and so would pay for insurance.
Before the merger, each of the separate newspapers was losing about 10 million per year. what forecast would you make for the merged firms profits.
Identify the incentives to produce and price the product for a traditional monopoly and natural monopoly. Is it best for society, i.e., does society receive more welfare, to have natural monopolies provided by a private firm or by the government.
Ms. Fogg is planning a trip where she plans to spend $10,000-What is the maximum amount that Ms. Fogg is willing to pay to insure the $1,000?
Illustrate what is output elasticity in this case. What sort of returns to scale does the firm face.
If the numbers of home and commercial users are equal, and you cannot distinguish between commercial and home users, what is the most profitable pricing strategy.
The airline has an average of 40 passengers paying an average of $200 for this flight. Do you think the airline should be flying between the two cities? Evaluate from a short-run and long-run perspective.
If the Federal Government is giving more than it receives in tax revenues in an effort to reduce unemployment
Suppose that market for tradable emissions permits by power plants has been operating efficiently for several years. An engineering company then invents a lower cost device for pollution abatement.
Calvins's Barber Shops, Corporation, has a monopoly on barbershop services provided in the south side of Chicago because of restrictive licensing needs, and not because of superior operating efficiency.
What is the probability that all the population slope coefficients are actually zero, but the coefficients we estimated are different from zero due merely to random sampling variability In other words, what is the probability that the R2 is actual..
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