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Suppose you serve on an environmental policy planning board for the federal government. Your task is to propose a policy initiative aimed at reducing urban air pollution, using the assignment of property rights according to the Coase Theorem. Assume that the major polluters to be targeted are commuter bus companies and that the major parties affected are the collection of city dwellers - residents and workers. Describe your proposal in detail, and include the following: a. Whether the rights are to be assigned to city dwellers or to bus companies.
b. How these rights are to be defined.
c. How the rights are to be distributed to the parties.
d. Whether the rights are to be auctioned or sold, and if so, at what price.
Suppose the demand for guitars in State College is given by Qd = 9000 - 12P where Qd is the quantity demanded, and P is the price of guitars. Also, suppose the supply of guitars is
what is meant by diminishing scale output
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The annual income from an apartment complex is $20,664. The annual expense is estimated to be $3,414. The apartment complex could be sold for $146,499 at the end of 10 years. If yo
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Your project has an estimated cost for land reclamation to be realized at the end of 20 years from today for $70,000,000. If current bond long-term interest rates are 7% compounded
Assume that government purchases decrease by $10 billion, with other factors held constant, including the price level. Calculate the change in the level of real GDP demanded for ea
Calculate the equilibrium price and quantity?
If you were a restaurant owner and you knew that the demand for your restaurant was elastic, how would you feel about a sales tax on restaurant food? Explain.
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