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How do you, as a consumer, benefit from the cell phone market being monopolistically competitive rather than perfectly competitive? How you are negatively impacted? Describe what you think the cell phone market would be like, from the perspective of a consumer, if it were a perfectly competitive market and what it would be like if it were a monopoly market.
Discuss how the distribution of income among various groups of income earners have changed in this country during the past 50 years. In your opinion, do we need to initiate any policy to address the distribution of income?
Consider a Stackelberg competition with one leader and one follower. All products produced by the firms are homogeneous. Consider a Stackelberg competition with one leader and one follower. Determine the equilibrium price, and the quantity produced b..
Suppose that a restaurant offering Ethiopian cuisine opened in a well diversed city. and became a great success. What would you predict would happen in the restaurant market for that city? Draw a graph illustrating the likely changes in the shape and..
Dramatically cut military spending. Raise taxes significantly on the wealthy. Raise taxes substantially on low & middle incomes by imposing a national sales tax. Dramatically cut Medicare budgets for senior health care by privatizing it (Ryan plan)
would there be any automatic Stabilizers in government budget. Would re be any distinction between full-employment deficits and actual beget deficit.
Do you think that the AUD will fall as low as US 65C by the end of 2016? Justify your answer. What advantages do you think Australia will have in such a scenario? If the market rate is US 65C then what action could the Reserve Bank of Australia take..
According to Classical Economists which type of fiscal policy financing produces inflation?
Explain factors that weaken the case for the public sector action such as: the special interest, the shortsightness effect, rent seeking, and weak incentives for operational efficiency.
The national debt of many developed nations is projected to grow to unsustainable levels. Why might national legislatures welcome higher inflation? Does inflation offer a means for a country to finance its increasing debt?
Paula has set aside $60 monthly budget to attend plays and watch movies. She likes plays exactly three time as much as she likes movies. Draw her indifference curves. If the price of movies decreases to 4 dollars how many movies will she see?
Will John take a dangerous job if he is offered $500 per week? Why or why not? Calculate John's reservation price.
The demand curve for product X is given by QDx = 220 ? PX + 3PY + 0.001I where PY is the price of a related good Y, and I is income. The supply curve for good X is given by QSX =10+3PX. What is the marginal effect of an increase in PY on the equilib..
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