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The government can help those people most in need by either giving them cash or providing free meals. What is the argument for giving cash? What kind of argument based on asymmetric information could support the claim that free meals (an in-kind transfer) are better than the cash handout? Can such an argument apply to free education?
Determine which of the two machines should be selected, using an AW-based rate of return analysis, if the MARR is 18% per year. The semi-automatic machine has a first cost of $40,000, an operating cost of $100,000 per year
Would you expect equilibrium income to rise or fall as a result of this change? Why? Check your answer with the following example: Suppose that, initially, c .8, t .25, and Y0 600. Now let ? 10 and ?TR 10.
The following table shows part of the demand function for tickets to an outdoor summer concert by a popular singing group: Price (P)...Quantity (Q) 50........... 100 35.......... 180 20............300 10............500
Suppose that investment is $130, saving is $110, government expenditure is $120, exports are $210, and imports are $220. How to calculate the tax revenue and government budget balance?
Indicate on the graph the point of market equilibrium Complete the last column indicating at each price level whether the market has a surplus or a (shortage) and by what amount
Compare the path of GDP in this question with the path in problem 1 after policy actions have been taken.
Suppose two firms 1 and 2 compete in quantities and face a demand curve p = 100 - q. Suppose firm 1 has a constant marginal cost of 10 while firm 2 has a constant marginal cost of 40. Suppose they produce quantities simultaneously.
A small bottling company finds that it costs $6,000 to prepare 10,000 sixpacks of cola, and $8,000 to prepare 15,000 six-packs. If each six-pack sells for $1.20, find and plot the graphs of the total cost function and the revenue function. Plot th..
What are the advantages and disadvantages of categorical grants relative to negative income tax?
What are the benefits and costs of participating in one?
Can you make a prediction regarding the net effect of this increase in r on the rate of saving? Why, or why not?
Suppose an economy's real GDP is $42,000 in year 1 and $43,200 in year 2. What is the growth rate of its real GDP? Instructions: Round your answer to two decimal places. The growth rate of the economy's real GDP =_____%
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