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Explain the difference between a positive and negative externality. In your analysis, make sure to provide an example of each type of externality. Why does the government need to get involved with externalities to bring about market efficiency? What solutions need to be provided for your examples?
Indicate whether each of the following statements is true or false. Explain why. a. When the law of diminishing returns takes effect, a firm’s average product will start to decrease
To pay for these paths, it then taxes Andrew, Beth, and Cathy the prices a+b+c=MC. If the taxes are set so that each resident shares the cost evenly (a=b=c), explain how many paths will get built.
Chris raises cows and produces cheese and milk because he enjoys:
"Exotic" mortgages became popular in part because they allow someone of:
there are 100 producers of toasters. half of the producers are low quality i.e. their products will break with
Bob's utility function is UB = (hB - 1)2sB where hB and sB are his consumption of hamburgers and salads respectively. Let p be the price of hamburgers measured in salads. Alice is endowed with one salad and two hamburgers. Bob is endowed with six sal..
If a firm starts small and, over time, builds successively larger plant sizes or adds additional work space in an office, average total costs are most likely to
Determine what fiscal policy measure has a more direct impact to the economy, an increase in government spending or an equal decrease in taxes if consumer confidence is lower than the previous month. Explain your reasoning.
Assume that the central bank of an economy contracts the money supply.
Can you share the economic development strategies also quote some examples of Elucidate how Singapore also US use them.
If television sets are sold in a perfectly competitive market, calculate the annual number sold. Under what consiquences will the market equilibrium be efficient.
Now assume that production technology improves such that average total costs decline by $5 a unit. Describe the process this industry will go through as it moves to a new long-run equilibrium.
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