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How does the adverse selection problem arise in the credit-card market? How do credit-card companies reduce the adverse selection problem that they face? To what complaint does this give rise?
Pharmaceutical drugs have an inelastic demand, as well as computers have an elastic demand.
Builders of a hybrid car declared it would build a car that would get 180 miles per gallon of unleaded gas. They figured it would cost $40,000 each car to build.
If we accept the conclusion that librarians are more vital to the country than professional football players, explain why are librarians so poorly paid in comparison.
If U.K. workers wage is 30GBD per day (and fixed exchange rate is $2= 1GBD Illustrate what is upper limit to U.S. worker's wage per day.
The factory operation creates smoke that affects nearby homeowners, causing respiratory ailments and similar problems.
Suppose the demand for loanable funds was stable but the supply fluctuated from year to year. Elucidate what might cause these fluctuations in supply.
What effect wills an increase in interest rates have on supply and/or demand of unskilled labour. Would wage rates increase or decrease.
Using a wholesale cost of $4 per case in each state, calculate the breakeven output quantities for each alternative.
Provide optimal wage-bonus package, compute this employees' effort, expected payoff and employer's profit. Draw a game tree for employer-employee game in parts a-c.
does barney have an absolute advantage in any activity. Illustrate what is Barneys relative opportinuty cost of writing one additional speeding citation.
Compare the additional revenue Circuit City makes as it moves from 2 million to 4 million copies of Vista with the additional revenue it makes as it moves.
Producers will be made to pay a tax for each beer sold. Use a graph to elucidate why the tax burden will not actually fall on the people that this person wants to punish.
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