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Insurance companies must provide insurance to drivers who may take risks that go unreported because they don't wreck or get ticketed (or if they do wreck or get ticketed, it goes unreported to the insurance company). Briefly explain the principal-agent problem and moral hazard in economic terms.
A monopoly with a more elastic demand curve will have more market power and monopolist can earn positive profits in the long run because it has market power
The market demand curve for the industry is D(P) = 240- P/2. At the equilibrium market price, each firm produces 20 units. what is the equilibrium market price, and how many firms are in this industry.
Which of the following statements best states the demand for agricultural commodities?
A small town is served by many competing supermarkets, which have constant marginal cost. Using the diagram of market for groceries, show the consumer surplus, producer surplus, and total surplus.
Country A and country B produce the same consumption goods and capital goods and currently have identical production possibilities curves. They also have the same resources at present, and they have access to the same technology. Currently, countr..
Evaluate price elasticity of demand
Construct a scatter graph showing the advertising and sales relationship over the last twelve months and using multiple regression, conduct an analysis of the firm's sales revenue, consumer incomes, and advertising.
How the Balance Sheet for Bank Z would look like after it loans out its Money to Mr. Chansa and suppose Mr. Chansa Deposit his Money into Bank-B, How would the T- Balance sheet look like for Bank- B
suppose a women marries her butler. after they are married, her husband continues to wait on her as before, and she conitues to support him as before ( but as husband rather than as an employee). how does the marriage affect GDP
Immediately after the second payment, the terms of the agreement are changed to allow the balance due to be paid off in a single payment the next year. What is the final single payment? (final answer should be $7778).
Assume the standard deviation is $3,730 and that debt amounts are normally distributed or what is the probability that the debt for a randomly selected borrower with good credit is more than $18,000?
Discuss and explain the income and consumption relationship make sure to describe marginal propensity to consume. If you received an extra dollar, how much of it would you spend?
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