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Please rank the follow curves as to how they would contribute to deadweight loss if a good that had this elasticity was taxed. Assume the supply curve has elasticity equal to 1.
Most deadweight loss
Least deadweight loss
1. a demand curve with price elasticity of demand equal to 100
2. a demand curve with price elasticity of demand equal to 0.4
3. a demand curve that is perfectly inelastic
4. a demand curve that is unit elastic
Compute the changes in consumer surplus, producer surplus, government revenue and third party surplus. Also, show these changes on a graph.
One of the three ADM executives was actually an informant who tipped off the Feds about this conspiracy. Which executive was he. Why did he rat out his co-workers.
She gets pleasure not only from her spending money but also from her leisure hours. Draw her budget constraint in leisure-expenditure space.
Illustrate that an increase in government spending can improve consumer welfare.
Illustrate what will be the level of output and price in the long run if this industry were perfectly competitive.
Compare and contrast your chosen websites: which website is more likely to be successful than the other, and why and How well does the website personalise the experience for users?
Use the algebraic form of the aggregate demand curve to find the level of GDP that occurs when the money supply is $900 billion and government spending is $1200 billion. Repeat all the previous calculations if government spending increased to $1300 b..
Who benefits from a tariff or quota? Who loses? Why would domestic markets benefit from protectionist trade policies? How do protectionist trade policies affect a government’s wealth and fiscal policy?
If people in Pantherville hold all money as currency, what is the quantity of money - what is the quantity of money?
Recall our example of an investment of $100,000 in research that yields a pioneering invention that has no commercial value, and a subsequent investment of $50,000 in development that yields an improvement that has commercial value of $1 million.
How can makers of flat-panel TVs earn economic profits during the first few months after the introduction of new models? What economic forces result in the dissipation of economic profits earned by manufacturers of flat-panel TVs?
Illustrate what variables other than cost appear to have the biggest impact on the demand products
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