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Many parts of the world, including the United States, have in the past used systems of unfree labor (slavery is a prominent example), whereby individuals are compelled to work for minimal/no wages (for this problem, assume no monetary wages). (a) Imagine an area where such a system existed but has recently been eliminated (i.e., the southern United States circa 1870). What do you expect to happen to the quantities of capital and labor used in production? Speci?cally, what can you say about the output and substitution e?ects on quantities used of these inputs? (b) Do you think slave rebellions, even if unsucessful, could reduce the incidence of slavery? Why/why not?
Suppose there are two plants that are emitting sulphur dioxide into the air and polluting the environment. One plant has a higher marginal benefit curve than the other. Draw and label a graph illustrating the impact of imposing a uniform environmenta..
Why might governments nationalize firms and do they have added advantage or unfair one over the private owned firms? What are the different forms of terrorism and how can international managers meet this challenge?
What are the three curves in the Aggregate Demand Aggregate Supply (AD/AS) model? What are their shapes? What relationships do they each represent?
Robert’s New Way Vacuum Cleaner Company is a newly started small business that produces vacuum cleaners and belongs to a monopolistically competitive market. What are the profit-maximizing price and output levels? Explain them and calculate algebraic..
How many times would Mexico's 2005 real GDP per person have to double to reach the United States' 2005 real GDP per person.
State and elucidate principle of diminishing marginal utility in relation to consumer demand. Illustrate what is production function and how is it relevant to a production manager.
Vermont is one of many states that passed Certificate of Need (CON) laws in the 1970s. Many interest groups are in favor of repealing all CON regulations. Assuming perfect markets, describe in one page or less, using graphs where appropriate, the eff..
In a paper, analyze the impact of changes in the federal minimum wage on employment, the individual, family and household incomes, and the future of employment wages. Provide specific examples to support your findings and justify your ideas.
An article in the Chicago Tribune stated that in 2007, college costs rose faster than inflation and student aid. A report by the College Board found that average in-state tuition and fees at four-year public universities rose 6.6% to $6,185. What wou..
Mr Patel runs a motel in Tampa, FL. The market is highly competitive since there are many hotels in the surrounding areas and the average room rent per night is $35. There are 30 rooms are Mr Patels motel and each room can be rented for 30 nights a m..
Consider an employee who does not receive employer-based health insurance and must divide her $700 per week in after-tax income.
Peggy's Peaches has developed a new product, the Bruise less Peach, which always stays peachy fresh. Peggy's paid 85,000 to a marketing firm to survey the bruise less peach market. The potential sales were estimated at $250,000 per year.
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