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Q1. Consider the electoral competition model with three candidates we saw in Lecture 3. Extend the model to incorporate that candidates not only care about oce but also about the policy that is implemented. You can assume any single-peaked preference you want. Differentiate the equilibria of model. Also the classification should be a function of the bliss point of the candidates.
Q2. Your firm has $45.0 million invested in accounts receivable, which is 90 days of net revenues. If this value could be reduced to 50 days, what annual increase in income would your firm realize if the increase in cash could be invested at 7.5 percent?
By what reasons financial crisis as well as either United States is going in right-wrong direction among its present strategies.
The social security system levies a tax on workers and pays benefits to the elderly. Suppose that Congress increases both the tax and benefit.
Does the law of diminishing marginal returns apply to this firm's production process. If so, explain why and find the quantity of labor at which diminishing marginal returns.
We operate 300 days per year and have found that an order must be placed with our supplier 6 working days before we can expect to receive that order.
Why do proponents of active policy recommend government intervention to close an expansionary gap. Some economists argue that only unanticipated increases in the money.
Remaining group did not have jobs, except all said they would like one. 5 of this group had not looked actively for work for 3 months.
Explain a way that your family interactsin factor market and a way that it interactsin products market. Discuss how circular flow relates to current economic situations.
The number of taxicabs in Motorville and the taxicab fares are regulated. The fare currently charged is $5 a ride. Motorville taxicab drivers want to obtain government's permission.
Does Ike feel emotionally neutral since the dollar value of the gain in his stock portfolio exactly offsets the amount of extra taxes he has to pay
When you purchase and eat a hamburger, no one else can eat the same hamburger. When you download a file on the Internet, the file is still available.
As before pleasing the job, you admit a surprise offer from a competitor. Elucidate how much producer surplus have you earned, if you actually earn $2600 during the month.
You can suppose any single peaked preference which you want and Characterize the equilibria of the model.
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