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President Alcazar announced an increase in the labor subsidy given to firms to try to boost employment and GDP. The subsidies received by a firm are in proportion to the number of workers it employs, that is equal to s N, where s is the subsidy rate and N the number of workers employed. The government pays subsidies to firms, whose post-subsidy profits are distributed to households as income. However, the subsidies are financed by a lump-sum tax on households. The lump-sum tax is such that the government budget is balanced. Show that, for any given level of real wages, the net direct effect of this policy, subsidies and corresponding lump-sum taxes, on household’s disposable income is negative.
q1. you have used particular bras well as well as type of sunscreen for several years but after discovering that some
How could understanding domestic politics through the major CP theories introduced in this course increase our knowledge about major current events in world politics, such as, among many other important issues the refugee issues many states face now?..
If the regulator wants to use a transferable emission permit scheme to achieve industry abatement of 50%: How many permits will it need to issue? If each firm receives one -half of the permits at no charge initially, explain what permit trading will ..
The optimal number of traffic deaths in the United States is zero." "Any pollution is too much pollution." "We cannot pull U.S. troops out of Afghanistan. We have committed so much already."
Often, there is news and critics that cast stones at the economic policies of Congress and/or the President. However, I find that average critics don't offer up an alternative solution, but simply criticize. Pretent that you are in charge for a day o..
Explain how much he finishes up paying each provider every month. Explain how much customer extra he obtains with each provider.
Joe is an empire builder". That is, his goal is to produce and sell as much as possible. Show that Joe's output is a decreasing function of all input prices.
An incumbent operating in a market faces a potential entrant. If the entrant does not enter, the incumbent earns a profit of $100. If the entrant enters, both firms earn a profit of $40. The game proceeds as follows. Draw the game tree and find the s..
Bahrainia is a country that has closed borders and does not import or export any goods or services; hence, they do not worry about trade with other countries. Total spending for the federal government of Bahrainia for the last fiscal year was 24.2 bi..
q1. suppose the number of employed people in an economy is 121166640. the unemployment rate in this economy is 10.4
The GI Bill provided educational opportunities to many young men returning from military service. Using a production possibilities curve, demonstrate how the GI Bill affected economic growth and explain your answer. Why is China still poor in per c..
You won $25 million in a state lottery that promises to pay $1 million (tax free) in the next 25 years. a) Have you won $20 million? b) What is the present value of this stream of fixed payments (assume that the annual interest rate is 6%? (Note you ..
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