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Although studies continue to show smoking leads to significant health problems, 20% of adults in the United States smoke. Consider a group of 350 adults. What is the probability that from 55 to 70 smoke? What is the probability that 70 or more smoke?
Suppose there is a decline in marginal costs for one member of a cartel. What impact will this have on the incentive of that firm to cheat on the cartel agreement? Explain.
This unit describes key characteristics governing how firms operate in the short run and the long run. Perhaps the most important concepts in the unit are the shapes and the logic of the short-run and long-run cost curves. Can you explain why average..
Using the PPC as a springboard for your analysis, what effect would forgoing consumption today in order to invest for tomorrow have on future production possibilities? Now consider the choices our government faces when it has limited tax revenues to ..
What order quantity would you advise and how much can they save using your recommendation instead of their one order per year strategy.
In economics, inflation is considered as a tax. There are also various costs of inflation. What is the inflation tax, and how might it explain the creation of inflation by a central bank? Explain how inflation affects savings and investment.
A wealthy businessman wants to start a permanent fund for supporting research on sustainability. The donor plans to give equal amounts of money for each of the next five years, plus one gift now (i.e., six donations in total), so that $100,000 per ye..
Quasimodo has a demand function for earplugs that is given by the equation D(p) = 100 − p. (a) If the price of earplugs is $50, how many earplugs will he consume? (b) If the price of earplugs is $70, how many earplugs will he consume? (c) What is the..
Consider following couples of variables and discuss whether you expect to find positive, negative, or no correlation between them. In each of the positive and negative examples, indicate whether or not you expect the correlation to be strong or weak.
Labor turnover during periods of economic expansion is largely the result of:
How do you calculate per capita income and capital per worker in the Solow Growth Model?
Suppose that in 2012, Canada Cars Corporation produced $20 million worth of cars and trucks but was able to sell only $16 million worth. Is the remaining $4 million increase in inventories part of GDP for 2012?
Many television shows, movies, and songs can be downloaded for free on the Internet. Much of this material is copyrighted and was expensive to produce. Much of it is available for a fee through a legitimate site. Should you pay to download an episode..
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