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Questions
1. Explain the concept of urban bias. What policies are associated with it, and what are their likely effects on urban and rural areas?
2. Explain the economic benefits of concentration of economic activity in cities. How are various costs of doing business likely to be affected? Why are some of the potential benefits of urbanization lost when congestion becomes substantial? What policies are likely to strengthen or weaken the opportunities to take advantage of the economic benefits of cities?
You are a policy adviser responsible for air pollution in a region where there are only two chemical plants run by firm A and firm B. Firm A’s pollution abatement costs are 2x^3 , where x is a unit of pollution. Suppose your boss, an elected politici..
Illustrate what factors contributed to Hong Kong Disney's poor performance during it's 1st year
Problem 1: In a population µy = 100 and σ2y = 43. Use the central limit theorem to answer the following question:
Suppose the own price elasticity of demand for good X is -3, its income elasticity is 2, and the cross price elasticity of demand between good X and Y is -5. Determine how much the consumption of this good will change if:
plot the total, average, and marginal functions for both revenue and cost. [Note: Use a two-part graph similar to Figure 2.1 that places the total function in the upper part and the average and marginal functions in the lower half. What is true of th..
Real interest rate is a combination of inflation rate and market interest rate, and increase when those rates increase. To have a higher NPV of an after-tax CFS, business owners would always prefer lower depreciation rates.
How convincing are a government's political and economic reasons for trade interventions? Elaborate. Add examples, if applicable.
What is the firm's cost function? What are its AC, AVC and MC functions? Draw the AC, AVC and MC curves
Assume in this country they save 20% of their income, population grows at 3% every year also depreciation of capital occurs at 10% every year.
A firm has monopoly power on the production of nuts (good 1) and bolts (good 2). Nuts and bolts are perfect complements
Suppose that you are a borrower with a project that has a rate of return of 6.8%. You submit a bid to borrow $1,000 at an interest rate of 5%, and a lender accepts your offer. After you fund your project and pay back your loan, what is your gain or l..
What kind of sampling have you done (simple random sampling, stratified sampling, systematic sampling or cluster sampling)?
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