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In 2009, the hershey company of pennsylvania became the latest company to open a candy factory in mexico, joining other american candy companies including brach's confections and ferrara pan candy, which had opened plans there earlier. The reason for hershey's move was more than just lower wages. It was also because of lower sugar prices. sugar prices in the united states have for many decades been supported in order to protect the american sugar industry and the thousands of farmers it employees. Using the tools of consumer and producer surplus, explain how the events described may have resulted from price supports for sugar.
Suppose that two price-quantity demanded combinations for some product are ($1.20, 90 units) and ($0.80, 110 units). Using the mid points variation of the arc own price elasticity of demand formula, calculate the coefficient of elasticity for both..
C. In part B, what happens to the amount of exports from Canada?
There are many economists who defend the notion that the United States has to clean up their trade policies in terms of relationships, agreements and even tariffs- Their justification is that in order to compete, the United States should position the..
If Englad can produce either 15 units of corn or 30 sweaters in one unit of labor and Portugal can produce 10 units of corn and 5 sweater in one unit of labor as well, explain how would each nation benefit (numerically) from trade.
Free trade will affect a country's employment in different industries. When one individual writes a check to another individual the money supply will not be changed. A bank's required reserves are the fraction of deposits they are required by law to ..
In looking at market structures we often see that monopolies are sole providers of a good or service. In looking at utility companies, why are they typically awarded the ability to be monopoly from government?
What is the probability of receiving more than three pieces of junk mail today?
Suppose you are the owner of a firm. You’ve optimized and determined that the cost function is as follows: C(Y) = 3000 + 0.5Y^2 - 20Y. What are the operating (variable) costs? At which quantity are operating (variable) costs minimized? At which qua..
Find the equilibrium price also quantity, then find elasticity of demand. Which should the federal government consider when evaluating the rising cost of college.
Explain how the government distributes the burden of financing government-supplied goods and services. Identify the top three challenges in the process of distribution and suggest your methods to address these challenges.
Find out and read two articles about a recent controversial issue involving either the Federal or state government and eminent domain.
Larry wants to determine what kind of growth he needs in order to achieve a $2,500,000 in net worth when he retires. To achieve this goal, he plans to invest $12,500 each year (starting one year from now) into an account that earns an unknown interes..
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