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Question 1:
(a) How do economists go about studying the economics of the public sector? Describe the four stages of analysis.
(b) What are the main reasons explaining systematic failures of government?
Question 2:
What do economists mean when they say the economy is efficient? What basic conditions have to be satisfied if markets are to be efficient?
FACTORS RESPONSIBLE FOR WAGE DIFFERENTIALS WITHIN THE SAME OCCUPATION i. Differences in the environment: For example a doctor sent to North Eastern Province must be pai
what is third degree discrimination
A cost-push inflation have as a result of workers' attempts to push up their wages. Thus, inflation does not have to be monetary phenomenon." Is this statement true, false, or unce
Q. Types of production function? Production function is of two different forms: The variable proportion production function The fixed proportion production functio
distinguish between industry demand and firm company demand
manual problems solution of demand theory
Suppose market demand and supply are given by Qd = 100 – 2P and QS = 5 + 3P. If a price floor of $20 is set, what will be the size of the resulting surplus?
Variable Costs (VC) These are costs, which vary with the level of production. The higher the level of production, the higher will be the variable costs. They are associated
Cheap Labour It is often argued that the economy must be protected from imports which are produced with cheap, or 'sweated", labour. Some people argue that buying foreign
When given two demand functions to calculate elasticity of demand do you use point elasticity or arc elasticity of demand formula
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