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Q1. An apple grower's orchard provides nectar to a neighbors bees, while the beekeepers bees help the apple grower by pollinating the apple blossoms. Use figure 16.2b to elucidate why this situation of dual positive externalities might lead to an under allocation of resources to apple growing also to beekeeping. Elucidate how might this allocation under allocation get resolved via the means suggested by the coase theorem?
Q2. Verify if the process y_k = 0.6y_k-1 - 0.08y_k-2 + e_k has unit root. If it does, modify the coefficient a_2 so that it does not. Suppose if process does not have unit root which modify a_2 so that it has unit root. Draw graphs of both processes with y_0 = 1 also e_k uniformlydistributed on the interval [-0.5, 0.5].
operating deficit is asking should the transportation authority increase or decrease the price per ride based upon the price elasticity of demand.
The annual operating and maintenance expenses are estimated to be $1,000. If Convington's MARR is 15%, how many years will it take before this machine becomes profitable.
Does a persistent balance of payment deficits result in a pressure to devaluate the currency.
What is a one invention that had good impact on the international economy and why. What were the impacts of this invention were impact good or bad.
Amalgamate the information you have gathered and tell the economic consulting firm which actions you think OPEC will take over the next year based on your answers.
For each option calculates the profit-maximizing price and quantity. Which, if any, of these compensation schemes would alter the deadweight loss from monopoly.
how does development of personal computer hardware and software reversed some of the trends brought on by the industrial revolution.
The overall effectiveness of the organ procurement system in the United States. What are its strengths and weaknesses.
You learn that the market price of illegal drugs is falling. Which hypothesis is consistent with this information on drug prices.
Suppose that firm A and firm B can form a joint venture to pursue either or both of their R&D programs.
Economics essay-a brief paper about three pages in length also concisely analyze a contemporary problem illustrating in the marketplace.
If most businesses in an industry are earning a 13 percent rate of return on their assets, but your firm is earning 23 percent what is your rate of economic profit
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