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Externalties
1. Externalities are third party consequence of some other action. They can be positive or negative externalities and they impose a benefit or cost to a third party. Identify a positive and a negative externality. Discuss the benefits and costs associated with each type of externality. What happens to the Supply and/or Demand curve in each of your examples?
2. Economies of scale is a concept that says as firms get larger, they become more efficient and their costs of production decrease. This being the case, why don't firms continue to get infinitely larger? Use at least 2 examples, including graphs, in your response.
Express the effects of government economic policies which could have on the sales of the Escalade
Elucidate what was the actual price elasticity before the cartel was formed.
Williams and Westrich stock is currently selling for $15.25 per share, and the dividend is expected to continue.
Assume that you have drawn a total product curve for labor given a specific technology. Now let some sort of technological change increase the productivity of labor.
Explain how does the Federal Reserve accomplish these goals.
Dana's Doorsteps (DD) is a monopolist in the doorstep industry. Its cost is C= 10Q and demand is P = 30- Q.
What is the amount of loans from rest of the world? What is the current account balance? What is capital account balance?
Describe why the demand curve facing a monopolist is less elastic than one facing a firm that operates in a monopolistically competitive market.
Rachel utility function is given by U= I 1/2 , where I represents annual income in thousands of dollars. Assume Rachel is currently earning income of $23,000 (I =23) and can earn that income next year with certainty.
Make an example of a comparative advantage model by 'choosing two countries and two products.
Elucidate Classical economists believed in the self-correcting nature of the economic system. They believed that the major adjustment.
Elucidate how have these policies affected the prices of the product the industry produces?
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