Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Economics Expert

The U.S. supply and demand curves for cars cross at $10,000, but U.S. carmakers can sell any quantity of cars to foreigners at a price of $15,000. One day the U.S. government announces that it will pay manufacturers a subsidy of $2000 for every car sold to an American. (There is no subsidy on cars sold to foreigners.) Illustrate the gains and losses to all relevant groups, and illustrate the deadweight loss. (If necessary, assume that once a car is bought, it cannot be resold.)

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M91694603

Have any Question?


Related Questions in Business Economics

One of the authors received a credit card bill for 2988 but

One of the authors received a credit card bill for 2,988, but it included a charge of 1,834 that was not valid. Find the values of the absolute and relative errors the absolute value is 1,834 what is the relative errors?

You ask your roommate to mail a letter for you suppose

You ask your roommate to mail a letter for you. Suppose there is a 0.21 probability your roommate will forget to mail it.  Should your roommate mail your letter, there is a 0.9 probability that Canada Post will deliver t ...

Lisa and david have been married for two years they have

Lisa and David have been married for two years. They have just decided that summer of 2020 should be spent in Switzerland. They figured out that in order to meet the cost of the entire vacation they would only have to de ...

An article in the wall street journal noted that an

An article in The Wall Street Journal noted that an" increase in the price of crude oil quickly reduces demand for oil". Do you agree with this statement? Briefly explain.

A researcher conducts a well-designed study to compare a

A researcher conducts a well-designed study to compare a sample mean to a known population mean and uses alpha=.05, two-tailed. She finds a z-test of 1.98, p-value=.048. What should she conclude? a. The 95% confidence in ...

Cathy buys a house her principal residence for 2500000

Cathy buys a house (her principal residence) for $2,500,000, paying $500,000 down and borrowing the other $2,000,000 at 5% interest. If her interest expense for the year is $100,000, how much will her maximum deduction f ...

Case a motivationas the provincial manager for a financial

Case A Motivation As the Provincial Manager for a financial services firm, you are well regarded within your company and especially by many of the 82 employees who work within your division. Due to a downturn in business ...

1 how can you implement a queue data structure using a

1. How can you implement a queue data structure using a doubly linked list? Do you think it is necessary to use a doubly linked list rather than a singly linked list or not? 2. If we need a add and delete function that c ...

A drug store is looking into the possibility of installing

A drug store is looking into the possibility of installing a 24/7 automated prescription refill system to increase its projected revenues by $20,000 per year over the next five years. Annual expenses to maintain the syst ...

Please help me solve the following questions1 in a

Please help me solve the following questions. 1) In a two-year survey of 100 census tracts in Seattle (WA), Rountree and Warner (1999) observed a mean official violent crime rate of 27.06 per 1,000, with a standard devia ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

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

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

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 1150 payment made in ten

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

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As