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Q1. Market efficiencies and inefficiencies happen all around us. Consider the definition of perfect competition and give an example from your personal life.
Now, consider the four sources of market failure and examine how each led to an inefficient allocation of resources. Take a moment to look around you and give an example for each of the four sources of market failure. Why do you feel these are good examples?
Q2. Under very high rates of inflation, why would people prefer to use a barter system to buy goods, rather than use paper money? Please explain.
Calculate the four combinations of outputs of corn and rice for these 4 plans.
Suppose that these cost figures accurately refl ect the economic costs of providing inpatient services at these two hospitals and that the two hospitals face the same average total cost curve.
A recording company obtains the following information about the demand and production costs of its new.
The United Nation's Department of Economic and Social Affairs, Population Division, tracks the total number of foreign-born people by nation.
Clarify what action monetary policymakers must take for the actions of fiscal policymakers to have no effect on real income.
Evaluate whether and to what extent the human failures that led to the disaster can and will be corrected.
When and where did modern economic growth first happen. What are the major institutional factors that form the foundation for modern economic growth. What do they have in common.
What is the short-run equilibrium price. What is the short-run equilibrium market quantity.
Is it a local, regional or national monopoly. What are some of the Barriers to Entry into this industry.
Suppose you work in a financial institution, how you would advise your clients.
Prepare a recommendation for each company. Should your recommendations be the same for both companies
Suppose now that the government reduces (t) and increases (t') so that the government budget constraint continues to hold. What will be the effects on an individual con-sumer's consumptionin present
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