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Please teach me how to solve the following question.
"Consider Queen Klubber, ruler of a small island nation. Her subjects have demand for coconuts of D(P)= 1200 - 100P while supply is described by S(P) = 100P. Suppose the queen has decided she wants to give her subjects a more attractive price for coconuts. She elects to impose a fixed, per unit subsidy. The subsidy works like this: the queen imposes a new rule that says sellers get a 2 dollar refund for each coconut sold.
The queen is quite upset with the new policy, mumbling something about "ripoff artists" in reference to coconut producers. The queen is threatening to end the $2 per coconut subsidy unless the price after subsidy falls to a level $2 below the price prior to the subsidy. Use your economic expertise to analyze the queen's complaint."
The 12-month interest rate on dollar-denominated assets (like bank deposits) is 2.00%. The 12-month interest rate on euro-denominated assets is 1.80%. The current spot exchange rate is $1.50 per €. The current forward exchange rate is $1.58 per €. Ex..
The revenue department of a state government employs Chartered Accounts (CA) to audit corporate tax returns and Book Keepers(BK) to audit individual returns.
The United States has experienced a large trade deficit in recent years. Analyze the implications of a growing trade deficit on the future growth.
suppose at the current level of labor used the mrp 100 and the mfc 50. to maximize profits the firm shouldadditional
You are the manager of a monopoly that sells a product to two groups of consumers in different parts of the country. Group 1’s elasticity of demand is -6, while group 2’s is -4. Your marginal cost of producing the product is $50. Determine your optim..
Compare and contrast (what is the same and what is different) recordkeeping requirements for two different business or industries.
Who of the following people are considered unemployed according to official statistics? (Mark off ALL who are considered unemployed.) choose which?
You have decided that in order to have a comfortable retirement you will need to replace $65,000in income each year in retirement. Assuming you will need 20 years of retirement income and an inflation rate of 3.5%, how much will you need to have save..
What is break-even analysis and why is it an important element in the discussion of operating leverage? In your response include a discussion on the break-even point. Compare fixed and variable costs and explain the significance of the difference in ..
Several questions in this problem set are based on the 8/19/12 Wall Street Journal article "Cartel Pushes Up Price of Rubber." This article is at the end of the module on Antitrust Policy. There are no good substitutes and economies of scale are larg..
Suppose we have a two country, two good Ricardian model where country A can produce in an hour 500 bushels of wheat or 20 computers
Explain where in the U.S. balance of payments an entry would be recorded for each of the following:
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