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Taxes create deadweight losses. Therefore Pigouvian taxes create deadweight losses. Is the latter statement true, false, or uncertain. Clearly indicate whether the statement is true, false or uncertain and defend your answer.
Elucidate the price also quantity that maximizes the company's profit.
Swagelok Enterprises is a manufacturer of miniature fittings and valves. Over a 5 year period, the costs associated with one product line were as follows: first cost of $30,000 and annual costs of $18,000. Annual revenue was $27,000, and the used equ..
You manage MBA Deli which sells meals at a price of $6 each. The average number of meals sold per month is 7,000. MBA Deli would like to increase its sales and profits. The MBAs running the Deli, know that if price is lowered, they will sell more mea..
Will these monopolies typically earn economic profits. Why do not other airlines enter these monopoly routes.
Identify the four basic inputs to an economic system. What is an entrepreneur? What is an alternative term for private enterprise system? What is the most basic freedom under the private enterprise system?
Austria has a history of strong hostility to nuclear power, and over the last twenty years the Austrians have shut down all of the reactors in Austria
Output is homogenous and the demand curve is P = 448 − Q. There are two firms with identical costs given by C = q2 i where qi is the production of firm i. (a) Find the Cournot equilibrium firm outputs. (b) Find the Stackelberg equilibrium firm output..
Draw a supply and demand graph for a subsidy on car production. Be sure to label price paid, price received, consumer surplus before the subsidy, consumer surplus after the subsidy, producer surplus before the subsidy, producer surplus after the subs..
Assume a model where the currency ratio is 0.4 (c = 0.4), the excess reserve ratio is 0.2 (e = 0.2), and the required reserve ratio is 0.1(r = 0.1). What is the money multiplier? What change in the money supply results from an open market sale of $25..
Large producers of ham and pork food products require a steady supply of pigs over a long period of time to operate efficiently. Is vertical integration into pig farming needed to maintain that steady supply?
Many people find the current unemployment figures for Australia a bit unbelievable. Why is this? Why might the official statistics be inaccurate? Using the simple Keynesian (J-W) model to assess the implications for equilibrium GDP and the level of s..
Illustrate what is the marginal cost of the first worker. Based on your knowledge of marginal analysis, how many workers should you hire.
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