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There are three individuals in a community that is deciding whether to unveil a statue of Elvis. Individual 1 would receive a net benefit of 25 if the statue were unveiled. Individual 2's net benefit would also be positive and would be 20. Individual 3, however, would be very disturbed by this unveiling and would receive a negative net benefit of –50. If the community uses a "Clarke tax" to decide whether to undertake this project (note that the project has 0 cost), will the project be undertaken? What will be the Clarke tax paid by each person?
Calculate the expected utility of each project according to this criterion. Is this individual risk adverse, risk neutral, or risk seeking? Why?
What are the advantages of E-Commerce? Name all the specific cyber issues that have necessitated new laws? Explain what the term “spontaneous order” means? Name all of the factors that, according to Lawrence Lessig, govern both real space and cybersp..
Employment and unemployment are big issues in America. Every week, the news outlets report the number of new unemployment claims made at unemployment offices around the country. We typically have 150 million people as part of the workforce.
As a means for less developed countries to attract the savings and investment necessary for economic growth and development, is short-term portfolio investment better than Foreign Direct Investment? Explain.
Efficiency of labour refers to the ability to achieve a greater output in a shorter time without any falling off in the quality of the work - that is to say, increase productivity per man employed. The efficiency of a country's labour force depend..
Suppose you own a specialized auto parts manufacturer. You purchase and have installed a new machine to make a particular type of part. The price of the machine plus installation is $300,000. If you have already purchased the machine, should you go a..
Consider the combined Solow-Romer model (i.e., there are both capital and idea stocks) that we worked through. Suppose the economy begins on a balanced growth path in the year 2000. Then in 2030, the depreciation rate ¯d rises permanently to a higher..
Might a job retraining program be a more useful policy to address structural unemployment than to address frictional unemployment? Explain with the help of a graph how the minimum wage might cause unemployment; Explain with the help of a graph how th..
Using the IS-LM model, examine what happens in the short run to interest rate, income, consumption, and investment under the following. Support your answer with the appropriate logic and graphs
Find the WACC for a firm that is what you think is a risky industry and the WACC for a firm that is in what you think is a less risky industry. Compare them and comment on the possible reasons for the similarity or difference.
Which of the policies is/are a monetary? - Which of the policies is/are fiscal? - What are the differences between monetary policies and fiscal policies?
no less than 1000 words excluding the title page bibliography and appendices.question 1. a study into the key
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