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Question: Assume that the towns of Belmont and Lexington have different demand curves for firefighters and can hire firefighters at the same constant marginal cost. Suppose that historically their state government has required the two towns to hire the same number of fire-fighters, but the state bas necendy decentralized decision making. Show that the gain in welfare from decentralization is greater the more inelastic the communities; demand curves. other things being the same.
Suppose two equally risky shares, Hi and Lo. Hi shares pay a generous dividend and offer low expected capital gains. Lo shares pay low dividends and offer high expected capital gains.
If Abacus charges a uniform price for a unit of accounting service (Q), what price must it charge per unit, and how many units must it produce per time period in order to maximize profit? Calculate the consumer surplus.
Changes in government spending and interest rates
Discuss the need, even for large MNEs, to rely on other agencies e.g. the IMF, as well as other monitors to assure themselves of stability of would-be developing countries. Assess how well the IMF has doen its job over forty years or so.
Determine the quantity demanded, the quantity supplied, and the magnitude of the surplus if a price floor of $50 is imposed in this market.Determine the quantity demanded, the quantity supplied, and the magnitude of the shortage if a price ceiling..
why the rate of unemployment in the USA is higher for African American compared to average American. - Explain the impact of technology transfer on the labor market.
Determine net income for the period if beginning stockholders' equity is $19,000, dividends declared amount to $7,000, ending stockholders' equity is $37,000 and the corporation issued $1,000 of common stock.
hotel bethlehem implements a block pricing scheme for nights in a hotel room. they face inverse demandp 260 -qdthe
Big Steel Corp. is a price leader in the local steel market. The other, smaller manufacturers set their price based on that established by Big Steel. Discuss how Big Steel should use the information on the supply of steel by other, smaller competi..
The following item appeared in a major daily newspaper: does this observation in fact violate laws of supply and demand.
Principles of economic analysis, economic institutions, and issues of public policy. Emphasis on direction of production, allocation of resources
1. suppose honey is produced in a beehive using bees and sugar. each honey producer uses one beehive which she rents
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