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What is meant by "the welfare loss" of monopoly? Why does no welfare loss occur if a monopolist successfully practices perfect price discrimination?
Suppose Ben has a utility function U(x,y)= 4 * x^(0.5) * y^(0.8) The price of x is 2 dollars and the price of y is also 2 dollars. Explain WITHOUT USING ANY MATH AT ALL, just in a few words, which good is consumed more. Does Ben buy more x than y.
The firm prefers to have type M in job D type U in job E. In the best outside option, the candidate is paid $80,000 a year. The monetary value of disutility in the job D is $15,000 for type M and $30,000 for type U.
reserve requirement for banks is set at 5. households deposit savings of 35000 into the third national bank.a.nbsp how
In this exercise, you will find actual points on the combined PPC of the two states. For each of the following values of one good, calculate the maximum amount of the other good that the two countries could produce working together.
Explain why eBay is or is not a perfect model for the integration of all the aspects of e---commerce.
Be certain to explain carefully why the policies are significant from your perspective. Briefly offer evidence as to their success.two specific government policies (pertaining to each of the two resource categories) that impressed you as significan..
Joseph starts to make quarterly deposits of $1,500 (at the end of a quarter) into an investment account at the age of 45. If he wants to have $250,000 when he retires at the age of 65, what must be the nominal and the effective interest rates per ..
An engineer deposits $300 per month into a savings account thatpays interest at a rate of 6% per year, compounded semiannually. How much will be in the account at the end of 15 years A) Assume no inter-period compounding; B) Assumeinter-period comp..
These conditions suggest that monetary policy is likely to be a more effective tool to promote expansion than fiscal policy. Do you agree or disagree? Explain your answer.
Suppose an emissions fee is imposed on producers. What emissions fee would induce the socially optimal quantity of the good?
Give a precise economic intuition explaining your answer relative to the usual (linear cost) case.
It is found that the amount of income not declared is, on average, different among the countries. Discuss possible explanations for this finding.
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