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Suppose the market for cigarettes is characterized by the following information:
Qd = 70 5P [Demand]
Qs = 3P 10 [Supply]
Suppose the government imposes a sales tax of $2 per unit. Calculate the Dead-WeightLoss due to the sales tax.
[Note: P = price per unit; Qd = thousands of units demanded; Qs = thousands of units supplied]
Illustrate what is the macroeconomic relationship with the article, "Squaring the Economic Circle" by Art Buchwald.
What is the result of an increase in the price of bread, a normal good? The demand curve shifts to the right. The demand curve shifts to the left. The quantity demanded increases. The quantity demanded decreases.
not long ago an employee came into my office asking for a wage increase. i responded by asking what increase in
A machine tool , which has been used in a plant for 10 years, is being considered for replacement. It cost $10,000 and was depreciated by MACRS depreciation using a 5-year recovery period. An equipment dealer indicates that the machine has no resale ..
q.in comparing a perfectly competitive market and a monopoly please answer each of the following questions thoroughly
If the product price is $105, at its optimal output will the firm realize an economic profit, break even, or incur an economic loss? How much will the profit or loss be? Show all calculations.
Suppose an economy has overbuilt and suffers from excess capacity. A recession ensues due to firms cutting back on expenditures. Is deficient demand more easily remedied by monetary or fiscal policy? Choose one and also show a picture of this in a AD..
President Bill Clinton assigned his wife to task of developing a national health insurance plan to increase availability of medical care for poor. How would one determine opportunity cost of proposal.
Why do governments raise taxes on cigarettes and alcohol to raise government revenues? What changes do you make to your demand for gasoline when the prices start to climb up? Would you want to own a business that sells price-elastic products or price..
Define the correlation between two random variables X and Y. What does the correlation coefficient measure?
Find the 90% confidence interval for the compensation of a year when the productivity is 85 and interpret the CI.
According to the rule for optimal input usage, a firm should hire a person as long as her marginal revenue product is greater than her marginal cost to the company. In offering such training programs, is a company violating the optimality rule?
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