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Consider the market of the previous question in the short run (with 100 firms), and assume that the government imposes a tax of $3 per unit.
(a) What would be the new equilibrium quantity supplied after the tax is imposed?
(b) What would be the price consumers pay and the price sellers receive with the tax? Explain how the burden of the tax is shared between consumers and producers.
(c) Compute consumer and producer surplus before and after the tax. How much government revenue is generated by the tax? How large is the deadweight loss?
The commercial banking industry in Canada is less competitive than the commercial banking industry in the united states
Despite having wide success in convincing mainstream economists of many tenants of Austrian economics, why have Austrian economists failed to convince mainstream economists of these neglected tenants of Austrian economics?
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A 1000 gallon metal tank cost $150,000 when it was fabricated 15 years ago. What would a 5000 gallon tank cost today if the power sizing eponent is .6 and the construction cost index for such equipment has increased from 200 to 500 over the last 15 y..
Explain how the company's profit would likely change in the long term. Use a graph to illustrate your answer. Make relevant assumptions if necessary.
What specific fiscal policy actions should be taken to expand economic activity?
Suppose that nominal national income in some country increased by 10% during the year, when inflation was 5%. Therefore, the real national income rose/fell by how much?
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the following is a labor supply functionwage per
In the lesson presented by Sal on Oligopolies and Monopolistic Competition he creates a two dimensional grid of the market types based on number of competitors and degree of product differentiation. Make sure you view this lesson. Now apply the lesso..
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