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What are externalities? How might they lead to overproduction? How might they lead to underproduction?
A stranger approaches you in the hospital parking lot and identifies himself as a lawyer who would like to help people and he would like to give you some of his business cards to hand out to patients who are not happy with their medical treatment; he..
Imagine a Harrod-Domar setup. Suppose that a developing country's capital-output ratio (k) is 4, and the savings rate (s) is 12%. Depreciation is 1%, and the population growth rate is 2%. What will be the equilibrium growth rate of GDP? What is happe..
Illustrate what will be the total consumer surplus to those consumers.
The cafe manager estimates that daily demand for cakes is represented by. What price is the cafe currently charging for cakes? The store manager notices that a nearby store is charging $8.50 per cake, and is contemplating whether to match the price. ..
Eric tries to eat more healthfully by eliminating cookies, donuts, and similar snacks from his diet. Every day at work, however, co-workers bring in these treats and Eric succumbs to temptation. Which of the following concepts would behavioral econom..
You have been asked to assist your organization's marketing department to better understand how consumers make economic decisions. Write a 1,050-word analysis that includes the following:
Time savings for motorists using the bypass are valued at $100K annually. The city uses 7% to evaluate capital projects, and the bypass is expected
If the cross-price elasticity between ketchup and hamburgers is −1.5, a 2 percent decrease in the price of ketchup will lead to a:
During the second semester of 2009 and the first semester of 2010 the GDP growth rate became positive. However, percentage changes in the GDP growth rate were not matched by half percentage point decreases in the unemployment rate during that period...
You are an efficiency expert hired by a manufacturing firm that uses K and E as inputs. The production function for a competitive firm is Q = K1/2 E1/2. The firm sells its output at a price of $32, and can hire labor at a wage of $12.44 per hour. In ..
Suppose a consumer maximizes the utility function U=ln(xy) subject to the budget constraint 4x + 2y = 12. Find the consumption bundle (x*,y*) that maximizes utility for the consumer.
What, if anything, did you find surprising, particularly challenging, or interesting? From what you know about this course so far, what connections can you make to previous learing experiences, and how do you think this course will help you as you mo..
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