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Suppose that new government spending increases lifespans. In our model, what should be the effect of this on hours worked per person in a given time period? Does it matter whether government spending adds extra years to the lifespan of living adults without improving their morbidity or if it expands both the peak and end years by equivalent amounts? What evidence exists for the predictions you have made that you are aware of?
An accident occurred and an individual lose a leg. Show diagrammatically the utility functions before and after the accident. Show that if you were the Utilitarian, you would give more income to the individual after the accident, but that even after ..
Suppose a household's annual take-home pay in 1951 was $8,320. Elucidate what would be an equivalent home pay in 1982.
Which of the following goods are likely to be classified as normal goods or services? Inferior? Defend your answer. Beans Tuxedos Used cars Used clothing Computers Books reviewed in The New York Times Macaroni and cheese Calculators Cigarettes Caviar..
What will the new Lerner Index be after some time with the new demand curve and market price of 30? What firms survive the new demand curve in the industry and why?
1. Discuss the mission, vision, values, and goals of Walmart. Relate and connect this to the case reading, chapter 1, frontline video and corporate website for Walmart. 2. Do you think vision, mission, goals, or even values take the lead role at W..
The monopoly producer of a single good has a constant unit cost c(ω(t)) at time t, where ω(t) is the firm’s “experience” at that date. (Assume c > 0, c 0.) Time is continuous and runs from zero to infinity. Experience accumulates with production:
Assuming that the economy is initially in equilibrium at potential GDP. Use an AD-AS graph to show the effect of an increase in government purchases on the price level and the output level in the short run and in the long run. Explain what is happeni..
Explain how does a firm solve this pricing problem to maximise profits. Explain, using a diagram to support your answer.
Chapin Manufacturing Company operates 24 hours a day, five days a week. The workers rotate shifts each week. Management is interested in whether there is a difference in the number of units produced when the employees work on various shifts. Decision..
A firm has three different production facilities, all of which produce the same product. While reviewing the firm’s cost data, Jasmin, a manager, discovers that one of the plants has a higher average cost than the other plants and suggests closing th..
Suppose that for Italy in 2008, exports 400 billion euros of goods and 300 billion euros in services, imports equaled 500 billion euros of goods and 350 billion euros of services, and the rest of the world purchased 250 billion euros of Italy’s asset..
Economists say that excess capacity in monopolistically competitive markets is "the cost to society of variety." What is the cost that economists are talking about, and why is this cost the result of having a variety of goods and services?
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