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Gasoline is typically less expensive in the United States than across the border in Canada but now suppose that U. S. gasoline price rises above that in Canada due to a change in taxes. How would the gasoline-purchasing behavior of a person who lives equally close to gas stations in both countries change? Answer using an indifference curve and budget line diagram.
Explain the legitimacy for local and national government agencies to use taxpayer money to assist small companies in the effort to export. Determine how taxpayer money can help local economies.
During a year of operation, a firm collects $175,000 in revenue and spends $80,000 on raw materials, labor expense, utilities, and rent. The owners of the firm have provided $500,000 of their own money to the firm instead of investing the money and e..
Given your research and findings, are monopolies and oligopolies (firms demonstrating power) always bad for society? Be sure to provide real world examples of where this may be the case to strengthen your position.
In the ________, if profits are not possible, the perfectly competitive firm will seek out the quantity of output where ________.
In Atlanta, the price elasticity of demand for bus rides is -0.5, the income elasticity of demand for bus rides is -0.1 and the cross price elasticity of demand for bus rides with respect to gasoline is 0.2. Describe the relationship between bus ride..
What do you think will happen to the price and quantity of DVDplayers. What is the difference between economies of scale and economies of scope? Provide examples for each of them (one example for each of them will be sufficient)?
In the labor market, what causes a movement along the demand curve? What causes a shift in the demand curve? In 1980, Denmark had a GDP of $70 billion (measured in U.S. dollars) and a population of 5.1 million. In 2000, Denmark had a GDP of $160 bill..
If there are 110 million people working, 5 million discouraged workers, 10 million receiving unemployment insurance benefits, and 15 million officially unemployed, how many people are in the labor force?
Describe a market situation in which the operating company faces economic difficulties and the need to cut costs. What cost cutting strategies might the operating company use to remain profitable? What would be the benefits and drawbacks of each?
Assume that the job separation rate s is 0.01 (1%) per month and that the job finding rate f is 0.2 (20%) per month. Assume that the labor force today (period t = 0) is 100 million. What is the steady state unemployment rate for this economy? In the ..
The manager of the aerospace division of General Aeronautics has estimated the price it can charge for providing satellite launch services to commercial firms.
Consider two people involved in a marriage or relationship. If, when one person is caught cheating on their agreement, the other cheats once or goes on a one time spending spree, then they are using a:
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