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How does BGP use the NEXT-HOP attribute? How does it use the AS-PATH attribute? Describe how loops in a path can be detected in BGP.
Richer individuals will prefer higher levels of government expenditure than poorer ones if A. Taxes are proportional to income. B. Income elasticities of demand for public goods are less than 1. C. Taxes are uniform. D. The median voter’s income is l..
Two amusement parks that are located on either side of a highway are considering promotional advertising campaigns to stimulate demand. If both parks advertise, then both will experience a $20 thousand increase in profits. If Park A advertises and Pa..
A city is considering four alternatives for housing development projects. Given an interest rate of 10% per year and the data in the table, determine: 1 2 3 4 FW of first cost, $ 10,000 10,500 18,000 12,000 FW of benefit, $ 20,000 11,000 25,000 26,00..
A firm faces a demand where q=20-P. q is quantity demanded, P is price. Its total cost function is TC = 2q^2 + 2q + 20. How many should it produce to maximize profit? What is the price it charges to its consumers?
Post and discuss why the tax credit enacted by the 2009 American Recovery and Reinvestment Act has no effect on the employees’ supply of labor using the concepts of consumer surplus, producer surplus and deadweight loss. Apply the effects of the Soci..
The year 2014 closed with the unemployment rate just below 6 percent, real GDP growing at roughly 2.5 percent, inflation below 2 percent, and the federal budget showing a deficit under 3 percent of GDP. Give one or more arguments for engaging in expa..
A beekeeper, Yung, lives next to an apple orchard. She is not only benefits from the bees honey, which she sells, but she sells, but she also creates a positive externality for her apple grower neighbor: Yung's bees help pollinate the apple trees so ..
Snoopy and Woodstock both need to have some letters typed and some carpets vacuumed. Calculate the opportunity costs of both activities for both Woodstock and Snoopy. Demonstrate that they could both be made better off by trading tasks and specializi..
Let’s compare the incentives generated by two different types of public programs. The Aid to Families with Dependent Children (AFDC welfare before reform) provides an income subsidy, G, at 0 hours of work, it is taxed away at a rate t when an individ..
Which of the following is an example of a good with a high switching cost?
Refer to the above graph for a profit-maximizing monopolist. At equilibrium, the firm will be earning:
positive levels of output and are zero if the monopolist shuts down. If current output level is 5, illustrate what should the monopolist do to increase profits.
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