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Tom is stuck with his friends on an island that uses coconuts for currency, but they recently discovered Wilson’s Island nearby. Tom’s Island agrees to make only one transaction with Wilson’s Island: It sells a fishing boat to Wilson’s for 15 coconuts. Answer the following questions, assuming that yearly consumption on Tom’s Island equals 500 coconuts, and domestic investments in huts and farm equipment equals 150 coconuts. Instructions: Enter your answers as whole numbers. a. What are net exports for Tom’s Island? coconuts. b. What is the total national savings for Tom’s Island? coconuts. c. Suppose Tom’s Island imports a volleyball net from Wilson’s Island for 5 coconuts. What is the total national savings now? coconuts. d. Now Tom purchases 1 coconut tree on Wilson's Island at a cost of 10 coconuts. What is the balance of payments? (Hint: A coconut tree produces coconuts like a factory produces goods.) coconuts. I got the answers to A, B, and C, I just need help with D!
Suppose that an impending environmental regulation to control that hazard is expected to reduce risk of premature death from 6/100,000 to 2/100,000 per year in that exposed population of 4 million people. Your boss asks you to tell her what is the ma..
Explain the unemployment rate in Tappania is higher now than it has been in 50 years. Can both of these statements be true at the same time.
A student has a budget of $200 for their meals outside of the home per week. One possibility is purchasing a meal at a restaurant, which we will call x1, and which costs $20, and a second possibility is purchasing a meal at the school cafeteria, x2, ..
The burden of a tax imposed on a good falls at least partially on consumers if:
Five of ten people earn $0, four earn $100, and one loses $100. What is the expected pay off and variance of the pay off? There is a 50 percent chance of making $0, a 40 percent chance of making $100, and a 10 percent chance of losing $100. Calculate..
Explain the three types of goods: search goods, experience goods and credence goods. What type of advertising would firm’s likely use for each type of good and why?
Utility producing firms often practice second degree price discrimination. How might this help consumer welfare?
Can you explain the practice of scalping tickets for major sporting events in terms of market shortages? How else might tickets be distributed? If rent controls are so counterproductive, why do cities impose them? How else might the housing problems ..
What is the optimal transfer price for the basic plastic item . At what price should the marketing division sell its product.
q1. thomas schelling and expert on nuclear strategy and arms control observed in his book the strategy of conflict
A firm’s cost function is C = 5Q + 0.1Q^2. Suppose the market price is $10. How many units will be produced by this firm to maximize its profit? Is this firm in the long run or in the short run? What is the lowest price at which the firm will produce..
Assume that demand for a commodity is represented by the equation P = 10 – 0.2 Q d, and supply by the equation P = 2 + 0.2 Qs where Qd and Q s are quantity demanded and quantity supplied, respectively, and P is the Price. Use the equilibrium conditio..
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