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Now suppose that instead of using the price floor to restrict consumption, the government decides to impose a tax on alcohol ($x on each unit of alcohol sold).
a. Can such a tax achieve an efficient level of consumption? Explain.
b. In light of your answer to part a, if you were advising the government, would you recommend implementing a price floor or tax to achieve the efficient level of consumption? [Hint: think about tax revenue.]
Russell presents a study conducted in 1984 in which 79 percent of interviewed high school males and females revealed that it was acceptable to rape a girl in at least one of nine circumstances. If this same study (citing the same circumstances) were ..
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q1. a father on the day his son is born wishes to determine what lump sum amount would have to be paid into an account
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Pick a product for one of the three distribution strategies (intensive, selective, or exclusive). Note your product and the distribution strategy, and then discuss why you feel the distribution strategy is most appropriate for that product based on t..
You buy a bond for $1118 that pays $20 interest ever 6 months. It will reach maturity in 9 years at which time it will return its face value of 1000 plus the final $20 interest payment. What is the pre-tax annual rate of return on this bond? Estimate..
Suppose the monopolist can charge different prices across customers. Calculate the profitmaximising price-quantity pair for each customer.
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