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5. The benefit of cutting down a forest is $1 million now. the environmental cost of that harvest is $10/year forever.1) At a 0 percent discount rate, are the benefits of harvesting greater than the costs? Why or why not?2) The private market discount rate is 4 percent, but the government has decided to use a social discount rate of 0 percent. What is the opportunity cost associated with using the social discount rate in this situation? Explain.
Illustrate what is the expected value of your earnings from investing in General Motors stock.
Currently AIDS is spreading in china and India. Govt. of these nations fail to stop spread of AIDS what are likely consequences for future economic growth in china and India.
Assuming that the income effect is negligible, how much will he be hurt if the cost of strawberries goes from $1 a pint to $2 a pint.
Assess what the results of the regression equation tells managers and how it is likely to impact decisions made related to maximizing profitabilit
Industry structure is often measured by computing the Four-Firm Concentration Ratio. Suppose you have an industry with 20 firms and the CR is 30. Explain how would you describe this industry.
suppose in a country the real growth rate is 4 and the real interest rate is 6.a calculate the constant debt-gdp ratio
Assume there are no other countries willing to trade goods, so when there is no trade between these two countries, each country consumes the amount of wheat and clothing it produces.
Consider a mutual fund with $720 million in assets at the start of the year and with 10 million shares outstanding.
Elucidate why an upward sloping aggregate supply curve is thought to weaken the impact of a rightward shift of the aggregate demand curve generated by an increase in government spending in the short run.
If in an economy a $120 billion increase in consumption spending creates $120 billion of new income in the first round of the multiplier process.
A firm's cost-reduction strategies may span multiple stages, from acquisition of production input factors to product service and maintenance. When seeking to lower cost in the short term, firms should
State two economic principles of taxation and which principle best justifies the excise tax on gasoline, when the tax revenue is used to maintain or improve the roads.
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