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Identify an instance where a price control is used in our markets. Why do you think this price control exists? Also discuss the possible negative effects it may have on the market
Each day millions of Americans purchase millions of goods and services. These goods and services are generally readily available, as long as you have the necessary money to purchase them. How is it possible for all of these goods and services to be r..
Initially, Michael has 10 candy bars and 5 cookies, and Tony has 5 candy bars and 10 cookies. After trading, Michael has 12 candy bars and 3 cookies. In an Edgeworth box, label the initial allocation A and the new allocation B.
What is the profit maximizing rule for firms Explain why it makes sense. For a purely competitive firm, price equals marginal revenue. What is the profit maximizing rule for purely competitive firms Can you see why, if price is set by the market
Explain how you would calculate the price elasticity of demand of gasoline? In general terms, explain how consumer and producer surplus will change as a result of this price increase?
economists often study and evaluate economic policies by country or region. as an economist evaluate different regional
It is believed that fiscal policy is more effective under a fixed exchange rate than a flexible exchange rate. Using the IS-LM model, illustrate and explain this differential impact for an expansionary fiscal policy.
whether or not the measure satisfies each of the five axioms we discussed (Anonymity, Scale Independence, Population Independence, Transfer Principle and Monotonicity). [ Note: a good way to do this might be to come up with small example populatio..
Using the purchasing-power-parity theorem, explain what happens to the value of a currency if its domestic inflation is lower than foreign inflation.
Draw a graph to show how the value of the euro would be affected if Greece did leave the euro zone and reinstate the drachma. Discuss why you think it would happen the way you have drawn it–discuss what factors about the exit of Greece from the euro ..
a company obtained 500000 for a necessary technology from a venture capitalist who charges them 24 compounded monthly.
Under what conditions will a firm shut down operations in the short run? Identify an example you are familiar with, or have identified during research, of a business that has temporarily shut down operations in the short run. What led to this decisio..
Using a budget line and indifference curves
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