Q: nsider a Cournot competition with N identical ns, each having MC=Ò and FC=0. Inverse mand is P=1O-Q....
A: Usually there are two firms in cournot model, the firm competes on quantities.
Q: q5
A: Deposits are the amount of money that people wish to keep with banks. The proportion of deposits tha...
Q: Suppose that Country A developing country and Country B is a developed country. Country A Policy Int...
A: The exchange rate is influenced by very many factors, which even includes the inflation this nation ...
Q: To arrive at the National income using the value added method, what has to be added to the net outpu...
A: National income is the total value of commodities produced by the companies in a country.
Q: Explain the meaning of Nash equilibrium when firms are competing with respect to price. Why is the e...
A: When not one of the firms will have an advantage by deviating on its own (unilaterally), the situati...
Q: Suppose we know the following data about average income of consumers (proxied by GDP Per Capita) and...
A: Note: Since, you've posted question with multiple sub-parts, we will solve the first the first three...
Q: What are the policy options for containing cost? What are cost-containing strategies used in the U.S...
A: Containing cost is described as a practice of a business of maintaining the levels of expenses to pr...
Q: Match the correct stage of the Rostows stages of economic growth
A: Kindly, see rundown of Rostow's 5 Stages underneath: The following is a definite blueprint of Rosto...
Q: In the United States, oranges are grown primarily in Florida and California. Imagine if there is a f...
A: The question pertains to competition among market of same goods that is orange.
Q: Assume that we have a Cobb-Douglas type aggregate production function in the form: ...
A: We are going to calculate Marginal Rate of Technical Substitution & Output per labor to answer t...
Q: To the new millennials, a career for life or working for others are no longer attractive options. It...
A: Entrepreneurship is defined as the ability to develop, organize and run a business, along with uncer...
Q: With the perfect price discrimination, the marginal revenue curve coincides with the demand curve. W...
A: Monopolist uses the different types of price discrimination methods, they are First degree, Second d...
Q: # What is income elasticity of demand? If the demand curve is the form P = ke* where p is the price ...
A: The law of demand establishes the negative correlation between the two variables- price and quantity...
Q: Which of these statements is not true when we discuss GDP calculation? a. GDP includes earnings of b...
A: The market value of all final goods and services produced in the economic territory of the country i...
Q: What are the effects of unemployment on income distribution?
A: Unemployment occurs when people in the labor force who are willing and able to work are unable to fi...
Q: The aggreate demand curve will shift to the ..... if ..... (Chose one or more.) a. left / the money ...
A: In order to find a macroeconomic equilibrium, the aggregate supply-aggregate demand model employs su...
Q: 5- zero correlation does not necessarily imply independence between the two variables. This statemen...
A: Zero correlation means there is no static relationship between the two variables. It is very importa...
Q: Suppose a firm has market power and faces a downward sloping demand curve for its product, and its m...
A: A firm whose demand curve is in turn downward sloping and has market power is believed to be a firm ...
Q: Nescafe charge offer coffee at OMR 2 in Oman and 3 OMR in UK. This is an example for O a. Demand bas...
A: Geographical pricing is the act of changing a thing's deal cost dependent on the area of the purchas...
Q: 8- which one of the following statements is not true as OLS assumptions Please select one; a) the va...
A: Option b is a correct assumption. Residual must have an expected mean of zero. This is important for...
Q: The application of new technology refers toA. innovation.B. imitation.C. investment.D. education.
A: To create new technology, an inventor is required to research the need for such technology and how t...
Q: Assume that goods market is always in equilibrium but money market clear sluggishly. Trace out the ...
A: Goods market is shown by the IS curve and money market is shown by the LM curve.
Q: The area under the demand curve up to unit Q 1 represents the total ____ of Q 1 to society. A. ...
A: Consumer surplus is the difference between maximum willingness to pay and the amount what he actuall...
Q: The world price of oil has risen recently. For Australia (which is a net exporter of oil), this deve...
A: CPI is a measure of all goods and not only oil. GDP deflator accounts for overall CPI.
Q: 4. Discus the idea of wealth- maximization objective of the firm and its relevance comparing to that...
A: Wealth management includes set of activities that manage the financial resources intending to increa...
Q: Use the AD-AS model to illustrate what the impact of an expansionary monetary policyinstrument will...
A: Monetary policy refers to the central bank’s policy that bring necessary change in the different rat...
Q: Explain why this following statement is true or false? a) Decreasing inflation rate and increasing p...
A: Macroeconomics analyzes the economy as a whole. It studies aggregate economic concepts such as natio...
Q: Exercise 2 Compare between the following two (After Tax cash flow) machines using internal rate of r...
A: As per the guidelines we are able to solve only 3 subparts
Q: Select the incorrect statement regarding the relationship between cost behavior and revenue. In a pu...
A: Pure Variable Cost Structure - No fixed costs Pure Fixed Cost Structure - No variable Cost
Q: (Long Run) The country of Prosperous has: Production function: Y = 2K1/2 (AN)1/2 ; where Y=output;K...
A: We are going to derive the expressions for Y/AN and Y/N to answer these questions.
Q: What are the two conditions that have to be met to be considered as unemployed? a. The person is jo...
A: A term which refers to those individuals who are currently unemployed and are in search of job but a...
Q: Which of the following are plausible approaches to dealing with a model that exhibits heteroscredast...
A: Heteroscedasticity is used in regression where scedasticity refers to variance and hetero means diff...
Q: An allocation of goods is said to be Pareto-optimal (or Pareto-efficient) if no ____ are possible. ...
A: An Pareto efficient allocation occurs when, in order to make one person better off, at least one oth...
Q: In an economy investment in increased by $10 billion. As a result income rises by $50 billion. What ...
A: Calculate MPC as follows: MPC = change in consumption/change in income = 10/50 = 0.2
Q: Would a temporary investment tax credit for businesses or a temporary incometax cut for individuals ...
A: A temporary investment tax credit for business increases investment demand as producers will prefer ...
Q: 80 40 L00 60 20 80 40 S1 D1. 100 200 300 400 500 600 7õ0 800 Quantity of hamburgers (per week) e: Re...
A: At P=$2 required quantity sold is 300 units.
Q: Which of these statements is not true? a. Macroeconomics addresses national economic issues b. Macro...
A: In economics, economic agents have an important role in efficiently utilizing scarce resources so th...
Q: Solve by hand (no excel)
A:
Q: 4. Discuss the price elasticity of supply?
A: Supply is the number of goods and services that producers or suppliers are willing to sell in the ma...
Q: Types of Income Elasticity of demand: And also write real life example 1. High 2. Unitary 3. Low 4. ...
A: The income elasticity of demand is an economical indicator of how receptive a product or service's a...
Q: Economics 6. Karl Marx and Marxian Economics d. The history of capitalism shows a pattern of recurri...
A: There are 8 laws of capitalist motion given by karl Marx.
Q: Economics If a 5% interest rate is used, which of the three proposed plans should be adopted? Evalua...
A: We are going to calculate Present Worth , BC ratios for all the alternatives provided in the questio...
Q: What are the effects of unemployment on income distribution?
A: Unemployment has bad effects on income distribution. Due to unemployment,some people have very high ...
Q: the .... and ...... are held constant along an .... curve. a. real output / money supply / aggregate...
A: The aggregate supply curve represents the level of output or goods and services the firm's want to s...
Q: In the following vertical marketing system the channel members agree to cooperate with each other bo...
A: A vertical marketing system is a cooperation model between various levels of a distribution channel....
Q: Can a monopsony exercise monopsony power if the supply curve it faces is horizontal? Why or why not?...
A: Monopsony is a structure of market in which a single buyer tends to substantially controls the marke...
Q: 9- the presence of heteroscedasticity can be investigated by using ... Please select one; a) F distr...
A: The term Heteroscedasticity does not affect the ordinary least squares coefficient generates to be b...
Q: When conducting a hypothesis test, you obtain a large p-value. This implies ... a- that the observed...
A: By the P-value, the evidence against the null hypothesis is obtained. If the P-value is smaller, tha...
Q: Suppose the economy has 24 units of good F and 20 units of good C. If consumer J is endowed with 12 ...
A: Pareto efficient refers to the level where the economic resources are allocated in the best possible...
Q: Part 1: True/False/Explain. For each question, follow these steps. First, define or explain precisel...
A: There are some institutions which holds great importance in overall economic growth. These includes-...
Step by step
Solved in 2 steps
- A country called Sherwood is very heavily covered with a forest of 50,000 trees. There are proposals to clear some of Sherwoods forest and grow com, but obtaining this additional economic output will have an environmental cost from reducing the number of trees. Table 12.11 shows possible combinations of economic output and environmental protection. Sketch a graph of a production possibility frontier with environmental quality on the horizontal axis, measured by the number of trees, and the quantity of economic output, measured in corn, on the vertical axis. Which choices display productive efficiency? How can you tell? Which choices show allocative efficiency? How can you tell? In the choice between T and R, decide which one is better. Why? In the choice between T and S, can you say which one is better, and why? If you had to guess, which choice would you think is more likely to represent a command-and-control environmental policy and which choice is more likely to represent a market-oriented environmental policy, choice Q or S? Why?Consider two approaches to reducing emissions of CO2 into the environment from manufacturing industries in the United States. In the first approach, the U.S. government makes it a policy to use only predetermined technologies. In the second approach, the U.S. government determines which technologies are cleaner and subsidizes their use. Of the two approaches, which is the command-and-control policy?In what ways (it) company investments in research and development create positive externalities?
- What arguments d0 low-income countries make in international discussions of global environmental clean-up?Radio stations, tornado sirens, light houses, and street lights are all public goods in that all are nonrivalrous and nonexclusionary. Therefore why does the government provide tornado sirens, street lights and light houses but not radio stations (other than PBS stations)?Refer to Table 12.2. The externality created by the refrigerator production was 100. However, once we accounted for both the private and additional external costs, the market price increased by only 50. If the external costs were 100 why did the price only increase by 50 when we accounted for all costs?
- Suppose you want to put a dollar value on the external costs of carbon emissions from a power plant. What information or data would you obtain to measure the external [not social] cost?Consider the case of global environmental problems that spill across international borders as a prisoners dilemma of the sort studied in Monopolistic Competition and Oligopoly. Say that there are two countries, A and B. Each country can cheese whether to protect the environment, at a cost of 10, or not to protect it, at a cost of zero. If one country decides to protect the environment, there is a benefit of 16, but the benefit is divided equally between the two countries. If both countries decide to protect the environment, there is a benefit of 32, which is divided equally between the two centuries. In Table 12.10, fill in the costs, benefits, and total payoffs to the countries of the following decisions. Explain why, without some international agreement, they are likely to end up with neither country acting to protect the environment.Will a system of marketable permits work with thousands of films? Why or why not?
- What are better-defined property rights and what incentive do they provide to account for external costs?In the Land of Purity, there is only one form of pollution, called gunk. Table 12.14 shows possible combinations of economic output and reduction of gunk, depending on what kinds of environmental regulations you choose. Sketch a graph of a production possibility frontier with environmental quality on the horizontal axis, measured by the percentage reduction of gunk, and with the quantity of economic output on the vertical axis. Which choices display productive efficiency? How can you tell? Which choices show allocative efficiency? How can you tell? In the choice between K and L, can you say which one is better and why? In the choice between K. and N, can you say which one is better, and why? If you had to guess, which choice would you think is move likely to represent a command-and-control environmental policy and which choice is more likely to represent a market-oriented environmental policy, choice L or M? Why?Identify the following situations as an example of a negative or a positive externality: You are a birder (bird watcher), and your neighbor has put up several birdhouses in the yard as well as planting trees and flowers that attract birds. Your neighbor paints his house a hideous color. Investments in private education raise your countrys standard of living. Trash dumped upstream flows downstream right past your home. Your roommate is a smoker, but you are a nonsmoker.
