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For any given demand curve for the right to pollute, the government can achieve the same outcome either by setting a price with a corrective tax or by setting a quantity with pollution permits. Suppose there is a sharp improvement in the technology for controlling pollution.
a. Using graphs illustrate the effect of this development on the demand for pollution rights.
b. What is the effect on the price and quantity of pollution under each regulatory system?
Happy s Pets inc has had a virtual monopoly anti depressants drugs for animals for many years (similar to Eli lilly product prozac for human) with a patent on this drug it has had very little competition and this drug has been a major source of co..
Some states are required to balance their budgets. Is this measure stabilizing or destabilizing Suppose all states were committed to a balanced budget philosophy and the economy moved into a recession. What effects would this philosophy have on th..
Economists agree that an economy cannot increase without savings. This means forgoing current consumption, saving, and investing in capital goods.
Define in general the term "internalize the externality" and explain its application in this case. Discuss a policy other than a tax or subidy that could cause individuals to internalize the externality. Explain briefly.
Use the following data for a pure monopoly to calculate the firm's-its profit-maximizing output level and produce price;
Illustrate what are the disadvantages of forming corporate joint ventures between multinational corporations in the home and host country.
Illustrate what are the short-term and long-term implications of states disagreeing on recognizing marriages performed in other states.
The Bureau of Labor Statistics reported that in December 2002, total labor force was 142,542,000 of a possible 214,967,000 working age adults.
When developing short-run cost curves, it is assumed that all firms in perfect competition have the same cost curves and they all make identical short-run profits or losses.
Assume a country has a population of 61 million, of which 37 million are in the working age population. Of those, eleven million are not in the labor force and 23 million are employed. Determine the labor force participation rate.
Illustrate what would this typical basket have cost in the base year.
As a policy maker concerned with correcting the effects of gases and particulates emitted by and local power plant, answer the following What two policies could you use to reduce the total amount of emissions
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