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In 1993, Chicago BearsPresident Michael McCaskey negotiated new contracts for the team's leadingoffensive and defensive players, quarterback Jim Harbaugh and defensive endRichard Dent. Harbaugh was an average quarterback whom fans admired for histenacity, if not his proficiency at throwing the ball. Dent was one of the bestat his position, but many fans complained that Dent frequently gave less than100 percent effort. McCaskey offered Harbaugh a long-term contract that paid $5million for the 1993 season, and nearly $4 million per season after that.McCaskey originally gave Dent a multiyear contract that paid nearly $1.2million per year, but he and Dent subsequently agreed to add a clause to thatcontract enabling Dent to become a free agent and negotiate a new contract withany team at the end of the 1993 season.<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />Based on the above, whichplayer do you think had a better year in 1993, and why do you predict that? Youshould ignore other factors outside of the above information (e.g., thepossibility that one player was injured during the 1993 season and thereforeperformed poorly, etc).
Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.
Some commentators have argued that the failure of the “Super committee” is good thing for the economy? Do you agree?
Case study analysis about optimum resource allocation: - Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..
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Problem based on Oligopoly and demand curve, Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?
Explain the impact of external costs and external benefits on resource allocation; Why are public goods not produced in sufficient quantities by private markets? Which of the following are examples of public goods (or services)? Delete the incorrec..
Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..
Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:
Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..
"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"
Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"
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