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Question: Consider the basic Rothchild-Stiglitz model with asymmetric information and robust and frail individuals. Suppose the government imposes a tax-and-subsidy program. The program collects a tax t>0 from an individual when she is healthy, and subsidize the individual s>0 when she is sick.
a) Will a pooling equilibrium be possible after the tax-and-subsidy program? Justify your answer on a version of the Rothschild-Stiglitz diagram.
In the middle of the twentieth century, major U.S. cities had multiple competing city bus companies. Today, there is usually only one and it runs.
Which of the following methods is used by unions to increase the demand for the labor of its members? what is an agreement between a manufacturer and a distributor on the price at which a product will be resold.
Describe a story that has recently been sensationalized, and explain a key component of sensationalism that was part of the way the story was presented.
Analyze the execution strategy for the SBU you selected. What elements affect the execution strategy? How is the execution strategy affected by culture, balanced scorecard, and internal operations?
What are the primary differences between industrial users and home users of electricity that allow the utilities to discriminate between the two markets in terms of price? How do we compensate for these differences in order to improve the "common ..
1. Explain Mill's description of the stationary state and how it differs from Smith and Ricardo's descriptions. 2. In what ways did the Utopian Socialists seem to influence the PE thought of John Stuart Mill
management has recognized the effect of changes in the real-world competitive environment and government policies on
Your FICO score is a commonly used measure of credit risk (see www myfico.com). A score of 850 is the best (highest) score possible.
Which set of policies is more likely to cause a tradeoff between economic output and equality: policies of redistribution or policies aimed at the ladder.
Which of the following two examples illustrates adverse selection and which illustrates an incentive problem? Explain your answer. In each case, give one method that the restaurant might use to reduce the problem. a. A restaurant offers an all-..
What policies make sense to you with regard to the U.S. wheat or corn markets?
What are the ontological, epistemological, theoretical and methodological assumptions underpinning symbolic-interpretive theories of organisations?
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