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a. )The food and drug administration classifies tobacco an "addictive substance."b. )The congress votes to raise the excise tax on all tobacco products.c.) Hurricane Fran dumps 15 inches of rain on North Carolina and destroys 80 percent of that state's tobacco crop.d.) Sixteen states sue the major tobacco companies for billions of dollars because of tobacco-related costs in their Medicaid programs. e.) Medical evidence that more than two cups of coffee a day (Considered by many to be a substitute for smoking) greatly increases the risk of stomach cancer.
What market structure is used to benchmark allocative efficiency and why do we use it? Illustrate and explain using a diagram
Explain the relationship between AP and MP. Be sure to use graphs to help support your answer. Calculate the MP and the AP for each worker
Manger wants to lower the costs of production, the manager should use an equal number of workers and machines
Discuss short and long run expenses. For the short run discuss the relationship in cost and production theory and the idea of diminishing returns.
Give an example of a monopoly, an oligopoly, and a cartel. Describe the welfare effects of monopolies and oligopolies.
Pass laws prohibiting children from working in labor market X. Require a license to work in labor market X. Increase tariffs on imports that compete with labor market X employers.
Describe and discuss the model of perfect competition and adopting strategies to gain market power in the competitive industries.
Quotas imposed on Japanese imports into the United States tend to: penalize both U.S. consumers and Japanese consumers. benefit both U.S. consumers and Japanese consumers.
Compute the price, output, and profit contribution if the product is not certified. Compute the price, output, and profit contribution if the product is certified. Should the firm undergo the certification process?
Assume a firm's production function is given by Q = 12L - L^2 for L = 0 to 6, where L is labour input per day and Q is output per day. Derive and draw the firm's demand for labour curve if output sells for $10 in competitive market.
Southeastern Bell stocks a certain switch connector at its central warehouse for supplying field service offices. The yearly demand for these connectors is 15,000 units.
How does the Heckscher-Ohlin theory differ from Ricardian theory in explaining international trade patterns and the theory demonstrates how trade affects the distribution of income within trading partners. Explain.
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