1. Does the market overproduce or underproduce when third parties enjoy positive externalities? Show your answer on a supply and demand graph.

Q: Graphically show a monopoly firm that currently sells 250 units of output at a price of $60/unit,…

A: Given  A monopoly sells 250 units at price $60 per unit.  At the 250th unit, MR=40, MC=50, ATC=60 We…

Q: what is the United States economic system. and what does globalization have to do with it

A: The world's greatest nominal GDP and net wealth are both concentrated in the United States, which…

Q: Suppose you have preferences for pizza (z) and soda (d). The price of pizza, pz = 5.00 and the price…

A: There are two goods to choose from - Pizza(z) & Soda(d) pz = 5  , pd = 2  , Income = 20…

Q: inelastic

A:

Q: What is the relationship between the coupon on an asset, the price of the asset and its interest…

A: The price of the asset is the price at which an asset is traded in the market.  The coupon is the…

Q: Which of the following is a source of Federal Revenue?     A. Personal Income Tax   B. Payroll Tax…

A: Federal Government makes expenditure and for meeting the needs of expenditures, federal government…

Q: What is the current account for Canada? a. $165 billion b. $175 billion c. $10 billion d. $155…

A: Current and capital accounts make up a nation's balance of payments. Accounts for transfer payments,…

Q: At the beginning of 2011, the city council, administrative offices and municipal courts of the city…

A: Future value (FV) refers to the value of a current asset at a date in future on the basis of an…

Q: A shift in the demand curve for bonds occurs when the quantity demanded changes at each given…

A: A shift in the demand curve for bonds occurs when the quantity demanded changes at each given…

Q: 12 11 10 9 8 7 6 5 3+ 2+ 1 Supply Demand 05 1 15 2 25 3 35 4 45 5 Quantity 5. Refer to Figure 8-2.…

A: Equilibrium in the market occurs at the intersection of the demand and supply curves.  The…

Q: The estimated monthly sales of Mona Lisa paint-by-number sets is given by the formula q = 97e-3p/2,…

A: given that, monthly sales of Mona Lisa  is given by the formula q = 97ep-3p2/2

Q: Cindy takes a summer job and earns an after-tax income of $3,000. Her living expenses during the…

A: Given information: After-tax income = $3000 Living expenses = $2500

Q: Social Security and Medicare taxes are the Payroll Tax.    True

A: The Social Security and Medicare taxes are the Payroll Tax.

Q: Total utility (utils) 0 25 45 60 70

A:

Q: Foreign payments to capital, labor, and land owned by domestic entities minus payments to factor…

A: Since Gross National Product (GNP) is the sum of the monetary value of all final goods and services…

Q: What are the two basic goals of the federal government stabilization?     A. Stable prices with…

A: Stabilization policy is a government strategy intended to encourage steady economic growth.

Q: Consider a geometric series of cash flows that begins at time 5 with a cash flow of $5,000. Cash…

A: At Year 5, Cash Flow = 5,000 series increase by 7%  total 9 cash Flows in gradient series FV at Year…

Q: 1. Refer to the graph below of a perfectly competitive market. How many units will the firm choose…

A: A firm in the perfectly competitive market is a price taker, meaning marginal revenue is the market…

Q: Sally consumes two goods, X and Y.  Her utility function is given by the expression U=3XY2. The…

A: Given  Sally's utility function: U=3XY2              .....(1) Marginal utility of X: MUX=3Y2…

Q: A consumer has utility (1,₂)=1+12. Suppose that, because of a shortage of good 1, the government…

A: Utility function  : u(x1 , x2 ) = x1 + x1x2  Price of good 1 : P1  , Price of good 2 : P2  Income =…

Q: Assume that you have all your wealth (one million dollars) invested in the Vanguard 500 index fund,…

A: The term "standard deviation refers to a measurement of the data's dispersion from the mean , if…

Q: - Four roommates are planning to spend the weekend in their dorm suite watching old ont movies, and…

A: Willingness to Pay is defined as the maximum amount or price a consumer is willing to pay for the…

Q: US Treasury yield curve is plotted in the following graph: INTEREST RATE (%) 6 5 0 5 10 15 20 25…

A: A yield curve is a line that depicts the rate of interest on debt. It displays the interest rates of…

Q: A food processing plant consumes 600,000 kW of electric energy annually and pays an average of ₱…

A: Annual cost for electric energy = 6,00,000KWh (P2.00/kWh) = P1,200,000 Maintenance = P800,000 Other…

Q: 2. Indicate whether the following activities create a positive or negative externality: a.…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Draw the Saving-Investment diagram and illustrate the effects of the following shocks on the…

A: ANSWER: (A).        Saving is an increasing function of the rate of interest. People save more at a…

Q: Question 1 = Prove that the indifference curves that represent the quasilinear utility function…

A: When a person only purchases up to a particular amount of one of the two items (x1 and x2 that are…

Q: What are the human behaviors economists should observe when creating economic models?

A: The human behaviours that must be taken into account while developing an economic model depend on…

Q: 2. Consider the overlapping generations model that was discussed in e lectures (please see lecture…

A: A subgame perfect equilibrium in game theory is a modification of a Nash equilibrium utilized in…

Q: It is possible for everyone to enjoy a comparative advantage in a task of their choosing. Why?

A: Comparative advantage refers to the ability to produce goods and services at a lower opportunity…

Q: Final answers must be in 4 decimal places. Analyn borrowed Php 5,000 from a bank and agreed to pay…

A: Borrowed Amount = 5000 bank discounted the loan and gave him Php 4,000 in cash pay loan back in 9…

Q: Find a government regulation imposed by the Commonwealth of Virginia that addresses a market…

A: Demand and supply are unable to balance when there is market failure.. Demand and supply may not…

Q: Consider a two-individual (A & B), two-good (X &Y), two-input (L & K) economy case with the…

A: Economic efficiency is the point where economic resources are allocated in such a way that there…

Q: nformation: a) Explain what the time series is likely to look like (i.e., cyclical, seasonal, with a…

A:

Q: A civil engineer planning for her retirement places 11% of her salary each year into a…

A: Future value is the value of an asset at a specific date. It measures the nominal future sum of…

Q: исх, у з= мох = моде MRS (ay) – ди ду - - а иг laxt 1 axty a ax+y) до дже I axty ха Muse MUY a ax+y…

A: Marginal utility is the utility derived from consuming additional unit.    Marginal rate of…

Q: The opportunity cost of producing another unit of butter is SUME) 14 12 +N 9+ 5+ 0 2 3 4 Butter…

A: Opportunity costs represent the potential benefits that an individual, investor, or business misses…

Q: Should an MNC alter its ethical standards to accommodate a host country in order to successfully…

A: Multinational corporations are those firms which have their operations spread in more than one…

Q: Consider the following cash flow profile and assume MARR is 10%/year. EOY NCF 0 1 2 3 4 5 6 -$80 $12…

A: Economic Rates of Return (abbreviated as ERR) gives a single metric that reflects how a project's…

Q: advantages of globalization

A: The globalization process is how ideas, information, goods, and services are spread around the…

Q: The quantity theory of money. was best explained by Fisher's book "The Purchasing Power of Money" is…

A: Quantity theory of money :- MV = PQ  Where M = money supply  V = velocity P = price  Q = real GDP

Q: (C) Suppose a normal good X. Its price increases from pr to p > Pr. The quantity demanded of good X…

A: Here we are given the various situation where the price of a good changes. The resulting change in…

Q: The following ACF plots were produced for raw data of monthly sales of two different variables, A…

A: ACF refers to the autocorrelation function in the time series with its lag values. It shows that how…

Q: Additional Problem 3: Assume two companies (C and D) are Cournot duopolists that produce identical…

A: Here we are given the market demand function and the total cost functions of 2 firms. These are the…

Q: O Adverse selection

A: In the marketing signal the sellers and consumer convey the information about products. By providing…

Q: George has a monopoly on burrito sales in a small town in Kansas. The burritos cost him a constant…

A: Q  TR  MR PROFIT TC 0 0      -  0 0 1 25 25 20 5 2 40 15 30 10 3 45 5 30 15 4 40 -5 20 20…

Q: First America Bank's monthly payment charge on a 48-month, $15,000 loan is $428.26. The U.S. Bank's…

A: Annual percentage rate (APR) alludes to the yearly interest generated by a sum that is charged to…

Q: What is interesting about the concept of externalities. Explain the benefits of obtaining knowledge…

A: An externality is a cost or benefit a producer generates but does not personally bear or receive. An…

Q: Why should we reduce the food stamps? List 5 reason why.

A: In United States, the Food Stamp Program is a federal aid program with the main motive of an…

Q: 5. Money Multiplier: Given: Money Multiplier: 1+c rr+e+C required reserve ratio = 0.10 C = currency…

A: Given information: rr = required reserve ratio = 0.10 c = currency ratio = 0.5 e = excess reserve…