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Discuss why there is a trade off between economic efficiency and equality?
Consider an economy with the following Cobb-Douglas production function: derive the equation describing labor demand in this economy as a function of the real wage and the capital stock.
Are budget deficits (especially what we have witnessed in the U.S. over the past 20 years) necessarily a bad thing? Elucidate.
In class, we study the two-part tariff question with the following system. Consumer 1 has demand function q1 = 50 − p1 and consumer 2 has q2 = 50 − 2p2 The per-unit cost of the production is mc = 10. What’s the necessary conditions that consumer 1 wi..
Suppose that the investment demand curve in a certain economy is such that investment declines by $100 billion for every 1 percentage point increase in the real interest rate. Also, suppose that the investment demand curve shifts rightward by $150 bi..
If six students are randomly selected, what is the probability that less than two of them will actually go to college?
Discuss the predominant pricing strategy within the video game industry. Make sure to comment on the degree of market power (i.e., the ability to set price) possessed by firms in the market/industry. Consider the role of pricing practices such as pri..
State and Local Governments in this country use sales taxes as means of generating revenue. In other countries, a value added tax (VAT) is used to generate Government revenue. Please explain the difference. In your opinion, which tax system is most e..
A U.S. Treasury bill is an example of a simple loan, coupon bond, fixed-payment loan, or discount bond? The estimated current purchasing price of a discount bond with a face value of ?$2000 and a yield to maturity of 11% is____ ? What is the approxim..
A perfectly competitive firm sells 10 units of Good X at a price of $2 per unit. It incurs a fixed cost of $5 and a variable cost of $40 to produce the good. Which of the following is true?
You sell consumer products in the Americas. The price sensitivity of South American consumers seems greater than for those in North America. An economic consulting firm has estimated the own-price elasticity for your most profitable product is -1.25 ..
What kind of market do you believe Uber drivers most closely resemble - perfect competition, oligopoly or monopolistic competition and why?
How does the new economic view of development differ from traditional economic measure of development?
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