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US Trucking pays its drivers $40,000 per year, while American Trucking pays its drivers $38,000 per year. For both firms, truck drivers average 240,000 miles per year. Truck driving jobs are the same regardless of which firm one works for, except that U.S. Trucking gives each of its trucks a safety inspection every 50,000 miles while American Trucking gives each of its trucks a safety inspection every 36,000 miles. This difference in safety inspection rates results in a different rate of fatal accidents between the two companies. In particular, one driver for U.S Trucking dies in an accident every 12 million miles while one driver for American Trucking dies in an accident every 15 million miles.
Why do we policies in place to correct for externalities that result from the use of fossil fuels but not for externalities that result from the color yellow or country music (or pick something you dislike that isn't taxed)?
(a) Construct a? 99% confidence interval for the proportion of adults from the Midwest who say traffic congestion is a serious problem.
What is the impact of a tax cut in an economy operating under a flexible exchange rate regime on household spending, interest rates.
Suppose an international development bank is deciding whether to use the head-count index or the poverty gap to measure the effects of a countrys poverty
If a monopolistic firm (price searcher) can sell 9 units at a price of $100 each but must reduce its price to $80 in order to sell 10 units, then
The export supply curve for a particular country is the
A firm’s total cost function is TC = 2q^2 + 5q + 10 . The firm is a price taker and the market price for its product is $25. The firm also receives a subsidy from the government because it is operating in a high tech industry and the government encou..
Imagine that you have decided to open a small ice cream stand on campus called "Ice-Campusades." You are very excited because you love ice cream (delicious!) and this is a fun way for you to apply your business and economics skills! Use your knowledg..
Compute its DDB depreciation schedule. Assume any remaining depreciation is claimed in the last year.
Assume a perfectly competitive firm is currently producing 5,000 units of output and is earning $15,000 in total revenue. The corresponding average total cost is $3.50 and total fixed costs equal $1250. Based on this information, should this firm con..
Assume that a country's per-worker production is y = k1/2, where y is output per worker and k is capital per worker. Assume also that 10 percent of capital depreciates per year (δ = 0.10).
a. Calculate the company's disbursement float, collection float, and net float. b. How would your answer to part (a) change if the collected funds.
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