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Explain how smoking can simultaneously generate positive and negative externalities. Is there too much or too little smoking? Explain why smoking bans on bars and restaurants do not efficient solve an externality problem.
Microeconomics, Economics
Question: A manager is considering two technological lines to produce candies. The first one requires $1 million in initial investment and produces 150 kilograms (kg) of candies per day. The second one requires $1.3 mill ...
Question: The President of the United States decides to eliminate terrorism in the Middle East and launches a massive ‘‘first strike'' against terrorist nations. Before this announcement, you had been predicting 3½% grow ...
Question: A 5-year MACRS class equipment that costs $50,000 was sold for $15,000 after depreciating it for 3 years using MACRS. What is the amount of depreciation recapture? The response must be typed, single spaced, mus ...
Question: Suppose that Omar's marginal utility for cups of coffee is content at 1.5 Utils per cup no matter how many cups he drinks. On the other hand his marginal utility per doughnut is 10 for the first doughnut he eat ...
Question: The ILO's Global Wage Report states that "in the wake of the financial crisis of 2008-09, global real wage growth started to recover in 2010, but has decelerated since 2012, falling from 2.5 per cent to 1.7 per ...
Question - For the following questions write whether the statements are true or false and give full justification for your answer. (a) For a given income level, it is not possible to have both good 1 and good 2 as luxury ...
Question: Discuss at least three pros and three cons of organizing as a general corporation and then suggest a couple of companies that would benefit from organizing as a corporation and why that would be a good choice f ...
Question: What were the fiscal policies from 2000-2010 and how were they related to macroeconomics? What were the fiscal policy actions and how did it impact the economy through the decade? The response must be typed, si ...
Question: Interest groups with normatively "good" causes often use profesisonal lobbyists; this is evident from AARP's expenditures. Do you believe there is an ethical issue with interest groups using lobbyists? Why or w ...
Question: In no-fault insurance, anyone involved in an accident is compensated for losses, regardless of who actually caused it. What do you expect will happen to the volume of auto accidents if no-fault insurance replac ...
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Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate
Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p
Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As
Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int
Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As