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What is the difference between consumer surplus and producer surplus? If the domestic price of oranges is $3.00 per pound and the world price is $2.50 per pound and if the nation allows unrestricted trade, what will be the result to consumer and producer surplus?
Graph the dynamically efficient market for two periods on one graph and graph the dynamically efficient market for each period on it's own graph. Suppose the government sets a price control equal to 20.
Consider a finite set of prizes X and probabilities P on them. Suppose that an expected utility maximizer's preferences > on P have an expected utility show with utility function on prizes u : X->R.
Illustrate what are the explicit, implicit, and total economic costs of the firm. How much economic profit does the firm earn.
A consulting company estimated market demand and supply in a perfectly competitive industry and obtained the following results.
Red Ball Production's taxable income in 2005 was $500,000. Illustrate what amount of state income tax did Red Ball Productions owe.
Government budget going from deficit to surplus and the simultaneous enactment of an investment tax credit.
How macroeconomic equilibrium does an economy achieve. Elucidate what affect does a high level of inflation have on macroeconomic equilibrium.
Explain the difference among the government purchases multiplier and the net tax multiplier. If the MPC falls, what happens to the tax multiplier.
Sketch a supply-demand diagram of the US Treasury bond market to illustrate the effects on it of the developments cited in part A. Label your diagram clearly.
Converse briefly its relationship to microeconomics also other related fields of study such as finance, marketplace also statistics.
What does the change in prices after a significant change in interest rates say about the relationship of price and interest rates.
There is a potential entrant, who needs to pay a sunk cost of f to enter in this market. Firms may produce any quantity that does not exceed its capacity.
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