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a. A community ponders implementing a no-smoking ordinance that would eliminate smoking in all businesses, government offices, and public places. Smokers are upset and argue that their rights are being violated by this proposed ordinance. An independent analyst estimates that the benefits of the ordinance (reduced medical care costs) will be $100,000 a year while the cost of implementing the ordinance (publicity, enforcement) will be $40,000. Would it be efficient to implement the ordinance? Explain your answer.
b. The Social Security system provides income for people over age 65. If a recipient of Social Security decides to work and earn some income, the amount received in Social Security benefits is typically reduced.
c. How does the provision of Social Security affect people's incentive to save while working?
d. How does the reduction in benefits associated with higher earnings affect people’s incentive to work past age 65?
Suppose the employees of Starbucks in China are paid 8 yuan per hour and a cup of coffee is priced at 8 yuan. If Starbucks is maximising its profit, what is the value of marginal product of labour (VMPL) per hour of the last worker employed by Starbu..
Confronted with an adverse supply shock, an economy with rigid wages and prices would suffer
q. we may not have a de lorean that reaches 88 mph or a tardis that can slide through space and time but within the
What potential threat, if it occurred, would prove most disastrous for Fujitsu, and what could the company do to deal with the possibility of this negative development?
What approach has become an effective means of achieving environmental goals at the least cost to society?
In a Stackelberg industry with identical firms we know that firm 1, the leader, produces its monopoly quantity in equilibrium. Given this, does the Stackelberg leader necessarily earn a higher profit than the Stackelberg follower? Explain.
What plant size will the firm choose in producing. Draw the firm's long-run average-cost curve on the diagram and define this curve.
The largest corporation based in the United States is: In addition to agricultural products and manufactured goods, the United States is also the world's largest exporter of: In order for a marketer to operate efficiently in a foreign country, it is ..
Sam is interested in buying two types of goods, x and y. He can either use all his income to buy 3 units of x and 9 units of y, or 9 units of x and 3 units of y. If he spends all his income on x, how many units can he buy?
Illustrate what the effects would be if real GDP is growing also both the velocity of money also the money stock are constant. Please converse.
Contractionary monetary policy
Assume that an open economy Neverland is operating under a fixed exchange rate regime. Currently, Neverland’s economy is suffering a deep economic recession meaning that Neverland’s total output level is much lower than its medium-run output level.
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