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Suppose the equilibrium price for soccer tickets in a free market results in 15,000 tickets being purchased. Major League Soccer has decided to impose a price control of $22 per ticket. At a price of $22, soccer teams would be willing to supply 25000 tickets. At this price, consumers are willing to purchase 17000 tickets. Which of the following is a result of the price control?
There will be a surplus or shortage? of how many tickets?
Distinguish between use and nonuse values in the specific case of preserving the quality of water in an underground aquifer. How might you measure the different types of benefits in this case?
How would a downward change in the money supply affect you personally. How would it affect your career. What impact would rational expectations have on your decisions in this situation.
Describe the impact of a payroll tax on wages and employment in a competitive industry. Why is part of the tax shifted to workers? What is the deadweight loss of the payroll tax?
If you could briefly discuss the network link. How does a link support Quality of Service (QoS)?
Ten years ago, a person deposited $2,000 into an account that paid 5% simple interest for the first four years and then it paid 6% compounded monthly for the remaining six years. The amount in the account at the end of the ten-year period is closest ..
Consider the market for pizza. Indicate whether each of the following events is more likely to impact producer behavior (supply) or consumer behavior (demand). Will supply/demand increase or decrease?
Suppose that the return on short-term government securities (perceived to be risk-free) is 5%. Suppose also that the expected return required by the market for a portfolio with a beta of 1.6 is 18%. According to the capital asset pricing model (CAPM)..
Who benefits from a tariff or quota. Who loses. Illustrate what are positives and negatives of protectionist trade policies on federal government's part. Which policy is best right now.
What factors led to the mortgage default crisis? How did mortgage defaults affect banks involved in mortgage lending and mortgage investing? Securitization? TARP? What do these mean? What are some of the major provisions of the Wall Street Reform and..
An analyst predicts that the present value of benefits of a two-year project would be $220,000 and the present value of the scrap value at the end of the project’s life is expected to be $18,000. Given a 5% discount rate, he also expects the present ..
q.an amusement park is considering changing its pricing scheme from a pay-per-ride system to a single opening fee
The United States has formally withdrawn from the Trans Pacific Partnership, a trade agreement that would create a trade partnership.
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