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Question:
(a) Using an example, differentiate between private, social and external costs and benefits.
(b) With the use of a diagram, describe the difference between profit maximizing level of output and socially desirable level of output in the presence of negative externality.
(c) Describe and determine the methods that the public and private sectors attempt to deal with negative externalities.
(d) Using appropriate examples, differentiate between merit and public goods.
Define the concept of cross elasticity of demand
discuss the trend and composition of national income and per capital income
Consider the following insurance market. There are two states of the world, B and G, and two types of consumers, H and L, who have probabilities pH =0.5 and pL =0.25 (high and low
net preparation ranjna baghel
#question. what is the underlying reason for the law of increasing opportunity cost?
would a rational producer be concerned with the average or marginal product of an input in dec
illustrate and discuss implications of various market structure(non competitive and competitive) for price determination
Assume that the market for lamb is perfectly competitive. Using an appropriate model (or models) illustrate and explain a. How a competitive market arrives at equilibrium
COST-OF-LIVING INDEXES * The CPI is computed each year as the ratio of cost of a typical group of consumer goods and services today in comparison to the cost during a base per
What is International Trade Economics, Explain study area of international trade economics.
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