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Define economics. Explain briefly how the economic way of thinking-interms of rational, self interested people responding to incentives- relates to each of the following situations.
a. A student deciding whether to purchase a textbook for a particular class.
b. Government officials seeking more funding for mass transit through higher taxes.
c. A muncipality taxing hotel guests to obtain funding for a new sports stadium.
1-2. Some people claim the "economic way of thinking" does not apply to issues such as health care. Explain how economics does apply to both a low-income household and a middle-income household? Can the same phrase be applied to very high-income household?
Which of the following factors reduces the need for government involvement in the marketplace?
describe how current economic conditions affect your organization or one with which you are familiar. Identify most important economic indicator affecting your organization and elucidate why.
The Occupational Safety and Health Administration (OSHA) promulgates safety and health standards. These standards typically apply to machinery (capital), which is required to be equipped with guards, shields, and the like. Analyze the possible employ..
Jane Peoples: "Independence of the Federal Reserve System is a scandal in an otherwise democratic country. The chairman and his banker cronies can tighten the money supply, raise interest rates, and throw the economy into a recession whenever they..
Suppose that the demand for certain drugs is QN=100-P in North America and QS=100a-P in Sub-Saharan Africa where a 0.531 if the drug manufacturer is to serve both markets while charging the same price in each market.
Three years ago Maricopa County implemented a policy to tackle the problem of particulate matter in the air. The project/policy consisted in paving and compacting some of the roads the dairy industry uses for feeding the cattle and transporting the m..
Countries with higher personal saving rates tend also to have higher rates of business investment and capital accumulation. Explain why this fact does not provide a justification based on social efficiency for policies that increase U.S. personal sav..
What is your influence to change or upgrade your security software? Have you made a change and regretted it before?
The monopolist internalizes the effect of its production on prices, which leads to a contraction of output. Explain why giving the monopolist the flexibility to employ nonlinear pricing schemes can undo this problem.
"Outcomes of a Traditional Weight Control Program and a Nondiet Alternative: A One-Year Comparison" Did the experiment setup create the conditions intended? What conclusions do the experimenters draw about the relationships between the variables? Cou..
An article in the Chicago Tribune stated that in 2007, college costs rose faster than inflation and student aid. A report by the College Board found that average in-state tuition and fees at four-year public universities rose 6.6% to $6,185. What wou..
Write out the payoff matrix for this game, and then find its Nash equilibrium.
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