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When the crop is growing you receive a warning from the government that a new disease has been found in some farms in the country, reducing profits by 70% (so only 30% of the profits will remain). That disease is not covered in the government insurance the farmer paid, as it is designed to cover only weather events. There is 30% probability the farmer would be affected by the new disease. If a private company offers disease insurance, how much insurance would be taken out if the insurance premium is 32 cents per dollar covered?
A proposed tunnel has a first cost of $800M, annual O&M costs of $14M, a salvage value in year 100 of $225M
A local newspaper headline? blared, "Bo Smith Signed for? $30 Million." A reading of the article revealed that on April? 1, 2014, Bo? Smith, the former? record-breaking running back from Football? University, signed a? $30 million package with the Da..
Snoopy and Woodstock both need to have some letters typed and some carpets vacuumed. Calculate the opportunity costs of both activities for both Woodstock and Snoopy. Demonstrate that they could both be made better off by trading tasks and specializi..
Considers a consumer who suddenly changes her preferences with regard to air travel,
Citizens can protect themselves in the case of robberies or harm by using these guns. Other states do not allow citizens to carry handguns
What must a person who is claiming they were harassed in the workplace allege in order to first state a case with the EEOC for each of the following types of harassment. I. Sexual harassment – quid pro quo II. Sexual harassment – hostile environment ..
Draw a graph showing a set of isoquants that depict capital and labor to be perfect complements (not substitutable at all) in a production function that exhibits constant returns to scale. Be sure to label the input and output levels on the isoquants..
Columnist Jack Mabley of the Chicago Tribune reports that "General Motors just increased prices another 2.5%" even after a "bad year" and concludes
Real-World Monopolies Describe an example of a real-world industry or market that would be considered by economists to be a natural monopoly.
Why would a tax credit for mortgage intrest be worth more to lower income families than a deduction? Would you favor changing the benefit from a tac deduction to a tax credit? What other changes might you want to make at the same time? WHY?
Some have argued that taxing a price searcher with a lump-sum tax (tax that is the same regardless of level of current production) and then using the tax proceeds to subsidize that producer’s output on a per-unit basis would reduce the efficiency los..
Show that, in the one-dimensional model with office-motivated candidates (i.e., Down. sian model with win motivation and no uncertainty), announcing capx^m weakly dominates every other strategy for candidate A.
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