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Find a real world example of market failure. Describe what, if anything, the government did to try to rectify this market failure.
Microeconomics, Economics
Question: What Economics priniciples discussed by Stonebraker should have warned us that ObamaCare (PPACA) would increase premiums rather than reduce them? Should government protect workers by capping premiums? Why or wh ...
Question: The banking sector was deregulated in 1982. Before then, the US economy had eight recessions in the post-WWII period, an average of one recession every 4½ years. Since then, there have been only two recessions ...
Question: A machine costs 525,000 today and has an estimated scrap value of $3000. Inflation averages 4% per year. The effective annual interest rate is 7%. How much money needs to be set aside each year to replace the m ...
Question: Not having had a contract or a "hit" during the last 12 months, Itchy "Fingers" Valachi, the Mafia's chief executioner, needs a loan to pay off the bills his wife has run up at Penney's. He goes to his pal "Ham ...
Question: 1) Why is it better to measure economic growth via real GDP per capital than real GDP? 2) Do some internet research and find out the growth rate of real GDP per capita for last year. How does it compare to our ...
Questions - 1. Turnover Costs Savings - Assume that training results in a 10 percent reduction in your turnover rate. Also, assume that the cost of a turnover is 1.5 times the departing employee's salary. For a given ave ...
Question: Historically, the value of the dollar has increased when the price of oil has risen, and declined when the price of oil has fallen. Explain why this has occurred, taking into account the fact that the US import ...
Question: a) Compare and contrast the organization and function of the ECB to the Federal Reserve. b) Explain how the two organizations differ in their ability to deal with a financial crisis like the ones in Europe in 2 ...
Quesiton: Mobile social networking is the next frontier in technology as companies race to adapt platforms like Facebook to our cell phones. 1. What do you see as the opportunities and the threats as we inevitably move t ...
Question: Consider a welfare program in which individuals who do not earn any income receive $100 in benefits but benefits decrease with earned income: for each dollar earned 50 cents of benefits are withdrawn and this i ...
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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