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Consider a large country with export subsidies in place for agriculture. Suppose the country changes its policy and decides to cut its subsidies in half. a. Are there gains or losses to the large country, or is it ambiguous? What is the impact on domestic prices for agriculture and on the world price? b. Suppose a small food-importing country abroad responds to the lowered subsidies by lowering its tariffs on agriculture by the same amount. Are there gains or losses to the small country, or is it ambiguous? Explain c. Suppose a large food-importing country abroad reciprocates by lowering its tariffs on agricultural goods by the same amount. Are there gains or losses to the large country, or is it ambiguous? Explain
Many cities regulate taxi industry by licensing cabs. These licenses are often called medallions because they are issued in the form of a metal shield that must be affixed to hood of the cab, where enforcement officials can easily see it.
The owner of the Los Angeles Dodgers has commissioned a study that showed the demand by fans for stadium seats (per playing date) to be P = 22 - 0.2Q-How much revenue does the owner make at the current price?
This problem uses Okun's law to study how the unemployment and inflation rates change when there are demand shocks. Assume that the relationship between the output ratio and the unemployment rate, U is given by the equation U = 6.0 - 0.5 (output ..
If the customer surplus is small, does it mean that the demand will be greater for regulation or the supply will be smaller for regulation.
The demand function for gadgets is providede by the following formula. Illustrtae what is the point price elasticity of demand.
In the text we mentioned how Levi Strauss price discriminates between the European and American markets. This question is designed to help you analyze this situation.
Suppose two high tech companies, X and Y, are the only producers of a new product that is used my numerous computer manufacturers.
What were the two main competing arguments (i.e., one pro, one con) made with regards to whether or not AT&T and T-Mobile should have been allowed to merge Do you think the two should have been allowed to merge
Suppose that the money market is initially in equilibrium for an economy. Explain with the aid of a diagram how the market adjusts to.
Elucidate the historical relationship between unemployment and inflation.
Hinduism, Confucianism and Buddhism are three of the world’s great belief systems. Compare and contrast their impact on the societies that embraced them.
A. The firm has an employee who threatens to tell all other firms in the industry about how to implement this new technique. Will it be possible to bribe the employee not to do this? Explain why or why not. B. Why should the employee probably choos..
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