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The average cost per day of owning an automobile in the United States is $7.62 with standard deviation of $1.77. This includes the cost of the car, general maintenance, gasoline, and insurance. A random sample of 54 students who own cars found the average cost per day to be $6.78. Is the college student's average expense less than the national average? complete write-up in context.
Mena would like to build a dam in the Grand Canyon of Western US to provide electricity to the nearby urban area of Las Vegas. Suppose the dam costs $800 million to build and is expected to generate $150 million of annual electricity production forev..
full employment is without a doubt the ultimate goal of every nation however in spite of the failures of controlled
One way to reduce the amount consumers spend on health care is to raise the price of health care by increasing the health insurance copayment (i.e., the portion of the price patients must pay themselves). At current copayment levels, if the price ela..
When external costs are present
Discuss which approach (Adaptation or standardization strategies) the best for international firms when they plan to enter Middle East region. Explain how companies can decide which strategy they use? Which factors play roles on this decision?
Provide an example of a good and a negative externality associated with it. Explain the possible ways that negative externalities can be controlled. Describe what happens in the market if a tax is imposed on the output of the good (not the externalit..
The record of economic growth over the past century does not represent the steady state described or predicted in the Solow growth model. Explain what the “Solow residual” is and how it is used to account for the long-term improvement in output per p..
An increase in population or population growth rate has the exact opposite effect in the Solow and Romer models.
Assume that households and firms keep 10c in currency for every Dollar they deposit in banks and that banks keep 25c as reserves out of ever Dollar they receive as deposit. Compute the eventual percent increase in the money supply if the monetary bas..
If so, what is the primary cause of the high prices? Should U.S. consumers be permitted to re-import lower priced drugs from Canada?
In recent years the exchange rate of the $ has been noticeably high against the yen. If for some reason investors around the world now decide that this increase is a temporary phenomena and that the $ will fall relative to the yen in coming months(th..
Outline the First and Second Welfare Theorems and their implications for the role of government. How can we use them to analyse the trade-off (if one exists) between efficiency and equity?
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