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Question: 1. Explain why the private sector is reluctant to produce public goods.
2. Identify the purpose of antitrust legislation.
Microeconomics, Economics
Question: Danny "Dimes" Donahue is a neighborhood's 9-year-old entrepreneur. His most recent venture is selling homemade brownies that he bakes himself. At a price of $2.5 each, he sells 250. At a price of $2 each, he se ...
Question: A consumer has the following utility function: U(x1,x2)=ln(x1)+2*ln(x2), where ‘ln' stands for the natural logarithm. Reminder - the derivate of ln(x1) with respect to x1 is 1/x1. a. Calculate the demand functi ...
Question: In footnote 7 we suggested that if transaction costs are too high, a government subsidy to beekeepers might produce an efficient solution to the external benefit problem. Explain why. The response must be typed ...
Question: In a typical recession, the unemployment rate rises 2 1 2%. Assume that at full employment, the unemployment rate is 4 1 2%, and it rises to 7% by the end of the recession. Typically it takes the economy about ...
Question: Read the article, The Ethics of Big Data. Based on the content presented in the article, describe the microeconomic principles being used, in other words what is the impact for demand? List the different types ...
Question: A manufacturer of laptop computers operates a plant with an annual capacity of 6,630,000 laptop units. One of his models is expected to sell 390,000 units in the coming year. How large should each product lot b ...
Question: 1. Conside rthe general effect of the discount rate on the dynamic efficient allocation of a depletable resource across time. Suppose we have two versions of the two-period model discussed in Chapter 6. The two ...
Question: In fast food we often see that a single franchisee owns all the outlets in a certain area that may be as large as a city. How does this increase the value that a franchise agreement is likely to create? The res ...
Question: What is an exchange rate system? What is the difference between a fixed exchange rate system and a managed float exchange rate system? The response must be typed, single spaced, must be in times new roman font ...
Question: What information could be lost if a firm were to buy a supplier of its intermediate goods and incorporate that firm into its existing operating structure? The response must be typed, single spaced, must be in t ...
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