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A. Why does the government grant patents to new inventors? Think about new cancer drug research and new drug prices.
B. Why does the government give monopoly power to utility companies?
Business travelers have inelastic demand for airline tickets while vacation travelers have elastic demand. Use two graphs to show what would happen if the government imposes a tax on each ticket sold and show who pays more of the tax in each market.
1. For each cases a) and b), specify whether the foreign direct investment is horizontal or vertical; in addition, describe whether that investment represents an FDI inflow or outflow from the countries that are mentioned.
Consider the utility function for a utility maximizing individual consuming two goods X and Y. U (X,Y)= X2Y+15. This person pays 3 dollars for good X and 5 dollars for good Y with an income of 150 dollars. (5Y+3X
A firm's fixed costs are $600 regardless of the output; Variable costs are $5 per unit of output. TC = FC + VC. The selling price of the good is $10 per unit. State the FC function, VC function, TC function and total revenue function. Find the breake..
What is the purpose of the term sheet and why is it important? Be sure to write a detailed long essay to this question. Think about who the term sheet is written for, why it is written, and what does it need to convey.
q1. explain why hyperinflation has such a devastating impact on economies.explain what it takes to stop hyperinflation
A town’s recreation department is trying to decide how to use a piece of land. One option is to put up basketball courts with an expected life of eight years. Another is to install a swimming pool with an expected life of 24 years.
Draw a pair of utility curves, one for X and one for Y, and label the positions immediately after the innovation (before any migration) as x for city X and y for city Y. Use arrows along the curves to indicate that migration that follows.
There are a lot of differences between US and China economies. Compared to the U.S. economy, the Chinese economy has which of the following? ----
Suppose that the market for a good is composed of 1000 identical consumers. The market Demand is given by = 150,000 − 25. What is demand for an individual consumer’s demand curve? Find the equation and illustrate graphically.
Elucidate Average costs are minimized when marginal costs are at their lowest point.
determine the output that would generate a total profit of $60,000 and the total sales revenues at the output level; draw the cost-volume-profit chart.
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