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For each of the examples below, answer the following questions:
(a) Is there an externality? If so, describe it, including references to whether it is positive or negative, and whether it is a consumption or production externality.
(b) If there is an externality, does it seem likely that private markets will arise that allow this externality to be internalized?
1. Toxic waste production by firms
2. Research and development by a high-tech firm
3. Individual vaccination against communicable illness
Explain how does the EU help it's members economy Do we need a EU. What are positive and negative points to members.
Who has the responsibility to decrease or eliminate unemployment. What is the role of business
Construct a graph showing supply and demand in the electronic dog feeder market and how are the laws of supply and demand illustrated in this graph? Explain your answers.
What is the highest profit or lowest loss availability to this firm?Should this firm operate or shut down in the short run? Why? What is the relationship between marginal revenue and marginal cost as the firm increases output?
Unemployment is low and inflation is rising, but slowly. Gross Domestic Product is also rising. The Federal Reserve may increase the reserve requirement at this point in order to
If the apple grower wants to see 6,000 bees kept, what is the value of the externality? What would have to happen for the socially optimal amount of bees to be kept?
Determine which best supports reason for why the use of teams by Anacorp Corporation is considered critical to its ability to develop and commercialize innovative products?
Suppose you're an economic advisor in charge of trying to raise a maximum level of tax revenue for the government. You consider taxing the suppliers in the market for corn, a major agricultural product in the United States.
Suppose that, in a perfectly competitive market at the profit maximizing quantity, the market price is greater than average total cost. Carefully explain what will happen to the number of firms, the market supply and the price of the good
Consider a firm that has just built a plant, which cost $20,000. Each worker costs $5.00 per hour. Based on this information, fill in the table below:
According to economist, if savings equal $5 trillion and spending equals $100 trillion, what will investment equal?
Illustrate what policies would you implement to help the economy reach full employment.
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