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Suppose a government attempts to compare two potential remedies to reduce fishing effort. The first remedy is increasing the per-unit tax on fishing effort. The per-unit tax on effort is represented as a leftward rotation of the total cost curve around the zero effort point (i.e. the marginal cost of fishing effort increases). The second remedy is increasing the cost of a fishing license. The increase in the license fee is represented as a parallel upward shift of the total cost curve (i.e. marginal cost of fishing effort does not change). Assume that these two remedies raise the same amount of cost at the open-access outcome. In addition, the fishery under these remedies would still be profitable.
Assume the fishery is private property with exclusivity. Compare the effect on fishing effort of these two remedies.
Charles' utility function is U(x;y)=xy. Anne's utility function is U(x;y)=1000xy. Diana's utility function is xy. Elizabeth's utility function is U(x; y)=-1/(xy+1).Fergie' s utility function is xy-10000. Margaret's utility function is x/y. Philip's u..
A bank's loan officer rates applicants for credit the rating are normally distributed with a mean f 200 and a standard deviatioon of 50 find the 60th percentile
Illustrate what is the Pig Farm worth. Elucidate what is the minimum one-time payment Farmer A would accept to agree to restrict his land for residential use forever.
Almost one-fifth of the deaths in children under five in Africa are from: The bulk of world trade originates and is exchanged between _____ economies. Health-adjusted life expectancy (HALE) reduces life expectancy by years spent: Which education indi..
Is it better to have risk management experience or an understanding of the industry?
For a given quantity demanded, the vertical distance between the effective and nominal demand curves shows the amount paid by the individual out-of-pocket and the amount paid by the insurer as per the agreed coinsurance rate. What would happen to the..
Austin, a US Crude Company engineer recommended that US Crude purchase a special tool to reduce the cost of pumping oil out of the bayous of St. Martin Parish. As a result of Austin's recommendation, US Crude purchased the tool for $300,000 on Januar..
Countries often resort to imposing barriers to trade during difficult economic times. Recall the Great Depression, which began in 1929
Can you cite an recent cases where the government had to break up a monopoly or where antitrust laws were broken and a company had to pay fines?
What, according to Chairwoman Ramirez, is the “just the tip of the iceberg” in regulating companies that collect information on consumers?
Ole Harry is the skipper of the Better Late Than Never, a VERY slow freighter that runs from Singapore to Los Angeles and back without making any other stops. The boredom of the voyage results in high worker turnover. What can Ole Harry do to screen ..
How much would you pay today for the following coupon bond where the coupon is received once a year over the 5 year holding period. As always show all formulas, calculations and work for full credit. Define interest rate risk. Show using a numerical ..
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