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What are corrective taxes? Why do economists prefer them to regulations as a way to protect the environment from pollution. Discuss
a software company decided to build a larger factory at a cost of 50 million that would be operational for 5 years. at
Effects of Proportional Income Tax on Labor Supply . Suppose that the government imposes a proportional income tax on the consumer's wage income.
A firm is considering 2 capital investment projects. Project A involves an initial cost of $125,000. The discounted present value of all future cash flows is $145,000. Project B requires an initial expenditure of $85,000. The discounted present value..
Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..
Evaluate trends in demand over time and explain impact on the industry and the firm. You should consider including annual sales figures for the product your firm sells.
Find a real world example of market failure. Describe what, if anything, the government did to try to rectify this market failure.
Intel made large loyalty payments to HP in exchange for buying most of their chips from Intel instead of rival AMD. AMD sued Intel under the antitrust laws, and Intel settled the case by paying $1.25 billion to AMD.
In Cavel International, Inc. v. Madigan, when Illinois passed the statute barring the slaughter of horses primarily for human consumption, Cavel presented each of the following arguments EXCEPT
Given what you know about the price elasticity of demand and addictive properties of crack, would you expect a sin tax that raises the price of crack by 15% to decrease the sale of crack by more than or less than 15%? Explain your answer.
Write a 2-3 page double-spaced essay identifying and describing the current state of the health care industry using microeconomics concepts and tools.
Derive the FOC and SOC conditions of profit maximization for this firm. Show that SOC is satisfied (impose necessary conditions). Which plant will have a greater increase in output? Please explain why.
Suppose the demand and cost function for a monopolistically competitive firm are given by: Q=36-4Q,C(Q)=124-16Q+Q^2. Determine the profit maximizing price and level of output. Calculate the firm’s maximum profits.
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