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Question: 1. Explain why incentives exist that cause pollution and how they work.
2. Identify the importance of cost-benefit analysis.
3. Describe why adapting to change is important for an economic system.
Microeconomics, Economics
Question: Suppose that the table presented below represents production and cost data from a single firm. The table displays the level of labor (L) and capital (K) chosen by the firm in each year from 2009-2017, along wit ...
Question: Suppose the federal government decides to levy a sales tax of $1.00 per pie on pizza. Briefly explain whether you agree with the following statement, made by a representative of the pizza industry: The pizza in ...
Question: What could the government do to try and keep the economy from entering a recession because of the adverse supply shock? Depict this graphically. (Alternatively - what has to shift in response to a negative supp ...
Question: Suppose that high-definition television sets (HDTVs) are normal goods. Would the compensated demand curve for HDTVs be flatter or steeper than the uncompensated demand curve? Explain your answer using a careful ...
Question: American History Participation in World War I led to many changes in the U.S. government, our economy, and society as a whole. Some changes were positive and some negative, but all lead to wholesale changes in ...
Question: Two routes are under consideration for a new interstate highway segment. The long route would be 25 kilometers and would have an initial cost of $21 million. The short transmountain route would span 10 kilomete ...
Question: Social Security and Compound interests Interest rate is 4% per year. Would you accept a proposal to pay $10,000 for one year and will be paid back $15,000 in the following year? 1. Will you accept the proposal ...
What factors are used to measure productivity? Has the annual average productivity in the U.S. went up or down over the last 30 years? In your opinion what caused this to happen?
Question: If your instructor is an agent, who is (are) the principal(s)? Do not say "the university," because there is no such identifiable individual. If you think it is the students, explain why. If not the students, w ...
Question: What is the relationship (if any) between production technology (i.e. productivity) and cost ? In your analysis define the various cost structures (short-run & long-run); Describe the difference between account ...
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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