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Please discuss the following: "In a competitive permit market, the initial allocation of permits is not important. With market power on the part of the polluter, the initial distribution matters." (120 words minimum)
Explain when Bank of Maryland will exercise the option. What is Bank of Maryland's break-even 60-day spot price on the option contracts? On the futures contracts.
Suppose that the U.S. Congress is debating whether to end the Temporary Assistance to Needy Families (TANF) program and instead let local governments replace this program with their own programs. Which approach would be more efficient? Explain.
Each employer faces competitive weekly wages of $1,600 for blacks and $2,400 for whites. Suppose employers undervalue the efforts/skills of blacks in the production process. What is the value of the marginal product of each black worker? What is the ..
Consider a monopolist whose total cost function is TC = 20 + 10Q + 0.3Q2 and whose marginal cost function is MC = 10 + 0.6Q. The demand function for the firms good is P = 160 - 0.5Q. The firm optimizes by producing the level of output that maximizes ..
Which of the following is human capital? One of the Ten Principles of Economics in Chapter 1 is that people face tradeoffs. The growth that arises from capital accumulation is not a free lunch. It requires that society. Other things the same, a count..
The initial cost of a pickup truck is $11,311 and will have a salvage value of $4,266 after five years. Maintenance is estimated to be a uniform gradient amount of $177 per year, with zero dollar for first year maintenance. The operation cost is esti..
Write out the payoff matrix for this game, and then find its Nash equilibrium.
Many are concerned about health conditions in American schools, particularly since children frequently catch infectious diseases from each other. One child with an illness might give the disease to all of the others at
Write down the multiple regression equation. Evalute the regression coefficients using ordinary least squares and interpret them.
In the early part of the 21st century the high protein Atkins diet became quite popular in the US. Explain what the popularity of this diet would do for demand for a high protein food like meat and for the marginal utility of meat at former levels of..
Should the United States pull out of NAFTA? Explain why we should or why we should not. A group at your school has called a meeting to discuss a boycott of the college bookstore if it continues selling clothing made with sweatshop labor. Would you su..
Assume that a novelty T-shirt producer has determined that her firm’s weeklynshort-run cost data can be summarized by a linear total cost function. Currently, the firm’s fixed overhead costs (rent, depreciation, etc.) amount to $2,100 per week, and t..
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