Twenty passengers were found ticketless on a bus. The sum of squares and the S.D. of the amount found in their pockets were dollar 2,000.00 and dollar 6.00 respectively. If the total fine imposed on these passengers is equal to the total amount recovered from them and fine imposed is uniform, what is the amount each one of them has to pay as fine? What difficulties do you visualise if such a system of penalty were imposed?
Q: The quantity equation of money can be written as: Money Supply (M) x Velocity (V) GDP Deflator (P) x...
A: Quantity theory of money is an equation that shows relationship between money supply, velocity, Pric...
Q: The following equations describe a Keynesian model of a closed economy: C = 500 - 0.5(Y - ...
A: C = 500 - 0.5(Y - T) - 100r I = 350 - 100r L = 0.5Y - 200i πe = 0.05 G = T = 200 Y = 1850 M = 3560
Q: Utility Function MU, MU, MRSxy 2x0.2y0.8 /25xy
A: Marginal utility of good X is calculated by differentiating the utility function with respect to X. ...
Q: A company manufactures and sells x cellphones per week. The weekly price-demand and cost equations a...
A: (A) Demand equation p = 400 - 0.5x Revenue function: Revenue = Price * Quantity R = px => R = (4...
Q: Liabilities and Net Assets Horth Stock Shares $400 Reserves Property Securities Loans Denand Deposit...
A: Liabilities of bank: The liabilites incorporate the sum that the bank owes to other people. This by...
Q: The purpose of the Madisonian plan Federal government was to assure that the states remained separat...
A: The Madisonian model is a government system in which the government's powers are divided among three...
Q: Portray the changing occupationalstructure in modern economies.
A: Occupational Structure:- The aggregate distribution of jobs in community, defined by level of abilit...
Q: A contractor can buy trucks for P950,000 each or rent them for P1,500 per truck. The truck has a sal...
A: Equivalent annual cost (EAC) measures the annual cost of maintaining, operating, and owning an asset...
Q: 2. Consider the following information of a hypothetical firm: Q = 100K0.6 L0.8; w = 1; r = 3 A. Solv...
A:
Q: Stax P $100 S $70 S50 $45 SX $5 40 60
A: Given, Equilibrium price= $50 Equilibrium Quantity= 60 After tax; Quantity= 40 Price paid by consum...
Q: The bicycle industry consists of seven firms. Firms 1, 2, 3, each has 20% of the market share, and F...
A: The correct answer is given in the second step.
Q: 1 Read her Majesty’s Treasury Report and answer the following questions. Let us assume that as a con...
A: If the UK has instantly begin importing US cars, then US would have more of the UK currency, there w...
Q: What amount of money deposited 35 years ago at 8% interest would provide a perpetual payment of $10,...
A: Given; Perpetual payment= $10000 Life= 35 years Interest rates= 8%
Q: Exhibit 15.3 S'm Sm Dm Interest rate in
A: Money demand (Dm) slopes downward, implying an inverse relationship between interest rate and quanti...
Q: lth at the end of the year. If you hold the wealth as money, you will have y in wealth at the end of...
A: Opportunity cost of Holding Assets as Money : It is been told that the opportunity cost of holding w...
Q: Among the adult population of a certain town 50 per cent are males, 60 per cent are wage earners and...
A:
Q: Critically analyse the benefits and costs of deposit insurance including moral hazard and if the sy...
A: Deposit insurance is a sort of insurance that protects depositors against losses in the case of a ba...
Q: Quantity Private Value Private Cost External Benefit (Units) (Dollars) (Dollars) |(Dollars) 1 22 12 ...
A: Units Private Value Private cost External benefit Social benefit Surplus 1 22 12 10 22+10=32 20 ...
Q: Consider the game shown below. In this game, players 1 and 2 must move at the same time without know...
A: Given, Two Players : Player 1 and Player 2 Player 1's Strategies : A, B, C and D Player 2's Strateg...
Q: 1. Consider the production functions for good X and good Y: X = K? +L ; Y = 20/KL A. Show and discus...
A: The marginal product of labor is the ratio of change in output to the change in labor. It means as l...
Q: Still using the graph on the left, shade and label the areas corresponding to the consumer and produ...
A:
Q: Determine the accumulated amount that would be due at the end of 18 months for Php15,000 borrowed at...
A: Simple interest is a basically a quick and easy method to calculate how much interest a loan will c...
Q: Suppose that a firm's production function is given by Q = KL. If capital is fixed at 1 unit in the s...
A: The labor market is the market that is determined by employment and wages. The labor demand curve sh...
Q: newspaper reports that in the last 5 years, prices have increased a total of 60%. This is equivalent...
A: Given that in last 5 years, the price has increased a total of 60% We have to find an equivalent inf...
Q: What was the change in US private sector employment in February 2022?
A: Employment refers to the state of having or being employed in economic terms.. If someone must be em...
Q: Explain how the shape of the production-possibility frontier implies increasing costs for the produc...
A: Points Clothing Food A 16 0 B 15 2 C 13 4 D 10 6 E 6 8 F 0 10
Q: A machine cost P480, 000 and has a salvage value of 10% of its cost at the end of its life of 30,000...
A: 1. 1. Book Value=P-tP-SLtWhere,P= Initial ccost S=Salvage valueLt=Lifetime of the assett=timeHere,P=...
Q: In 2002, the price index was 162. In 2003, the price index was 182. The inflation rate between 2002 ...
A: In an economy, inflation takes place when the prices of goods and services increases. Inflation can ...
Q: Leroy purchased an Al-based robotics system with the first cost of $345,000, an AOC of $148,000 per ...
A: Given; Purchase cost of AI-based robotics system= $345000 Annual operating cost= $148000 per year Sa...
Q: Profits generated by a Machine Prime Inc. were 100 M for the first year and increased by 10 M each y...
A: Given:- Machine Prime Inc generate profit of 100M for first year and increase by 10M each year. Rate...
Q: AD, AD, AS P1 Q, a, Real GDP If aggregate demand curve shifts from AD2 to AD1, the full multiplier e...
A: Aggregate demand shows an inverse relationship between price level and real GDP. Decrease is aggrega...
Q: $30,000 $88,000 $94,000 $110,000 Income a) What is the actuarially fair premium for Charlene's situa...
A: In economics, utility function is an important concept that measures preferences over a set of goods...
Q: 4. A house & lot is offered for sale, the seller offers 3 methods of payments: a. P500,000in cash ...
A: Given the interest rate = 12% Monthly interest rate = 12%/12 = 1% Number of compounding periods = 4 ...
Q: The municipality of Trento has arranged to borrow P30 million in order to implement several public p...
A: The amount borrowed, PV = P30 million Interest rate = 3% Every year payment = P5 million
Q: Suppose that there are 177 identical firms in the market, each with a cost function C(q) = 100 + 1.5...
A:
Q: 6. Countries have different regulations on what may or may not be imported and which tariff applies ...
A: 6. Countries have different regulations on what may or may not be imported and which tariff applies ...
Q: Plz solve in 1/2 hour it's urgent The market for bananas has the following demand and supply functi...
A:
Q: Health systems focused on insurance markets. promoting equity typically have purely private True Fal...
A: The correct answer is given in the second step .
Q: Cost-sharing is used to combat moral hazard at the expense of equity. True False
A: The share of costs covered by your protection that you pay out of your own pocket. This term for the...
Q: 4. Primary fiscal surplus refers to: a. private savings b. total savings c. public savin...
A: The primary surplus of a country refers to the portion of the fiscal surplus that is made up of cur...
Q: Which of the following is an argument of opponents of devaluations? O A devaluation causes a nation ...
A: In the foreign exchange market, devaluation refers to the situation when a country is experiencing a...
Q: are the poorest members of society the greatest beneficiaries in the Difference principle of John Ra...
A: The poorest members of society are not usually the most significant winners under the Difference Pri...
Q: )Solve all three parts correctly explanation Part a) Firms have market power in: Select one: A.m...
A: 1. D) market power is when a firm has the ability to change or influence the price in the market. th...
Q: + if the demand will increase and - if the demand will decrease _______________5. Karla’s salary ha...
A: The demand curve shows the negative relationship between two components that are price and quantity....
Q: Match each mathematical expression to the term below which represents its meaning: AU/AL is Ac/Ae is...
A:
Q: A water station business present water consumption is estimated to be $15,000. Assuming a gradual gr...
A: The consumption function shows the direct relationship between consumption and disposable income. It...
Q: In 1986, the U.S. Congress enacted a regulation (PL99-509) requiring railroads to disclose contractu...
A: Contractual arrangements with grain transporters became more open when the Act passed. Following the...
Q: Output quantity Total variable cost Total cost 0 $0 $250 25 450 50 300 X 75 375 100 600 850 125 ...
A: Total cost is the sum of fixed cost and variable cost. Fixed cost remains constant and does not depe...
Q: Does a country need to be well endowed with natural resources in order to experience rapid long-term...
A: Economic growth refers to the increase in the amount of goods and services produced in the economy. ...
Q: In a life-cycle model, a worker with constant household productivity will react to an expec wages by...
A: Labour supply curve shows a positive relationship between wage rate and number of hours labors are w...
Step by step
Solved in 4 steps with 4 images
- Suppose that a large discount retailer with a lot of purchasingpower in a supply chain requires that all suppliers incorpo-rate a new information system that will reduce the cost of placing orders between the retailer and its suppliers as wellas between the suppliers and their suppliers. Suppose alsothat order quantities and lead times are related; the smallerthe order quantity the shorter the lead time from suppliers.Assume that all members of the supply chain use a continu-ous review system and EOQ order quantities. Explain the im-plications of the new information system for the supply chainin general and the inventory systems of the supply chainmembers in particularQuestion 2Consider the case of Jonathan, who is a singlefather with one child. He can work as a serverfor $6 per hour up to 1,500 hours per year. Heis eligible for welfare and can receivegovernment support of $10,000 for notworking at all. If he works 1,500 hours, hisearnings would be______ and governmentsupport would be______.O a) 2.000; 8,000O b) 3,000; 7,000O c) 9,000; 1,000O d) 10,000; 0Five roommates arc planning to spend the weekendin their dorm room watching movies, and they arcdebating how many movies to watch. Here is theirwillingness to pay:Quentin Spike Ridley Martin StevenFirst film $14 $10 $8 $4 $2Second film 12 8 4 2 0Third film 10 6 2 0 0Fourth film 6 2 0 0 0Filth film 2 0 0 0 0Buying a DVD costs SIS, which the roommates splitequally, so each pays $3 per movie.a. What is the efficient number of movies to watch(that is, the number that maximizes total surplus)?b. from the standpoint of each roommate, what isthe preferred number of movies?c. What is the preference of the median roommate?d. (f the roommates held a vote on the efficient out~come versus the median voter's preference, howwould each person vote? Which outcome wouldg~ a majority?c. lf one of the roommates proposed a differentnumber of movies, could his proposal beat thewinner from part (d) in a vote?f. Can majority rule be counted on to reach efficientoutcomes in the provision of public go<Xis?
- 8. Two states, A and B, have signed an arms-control agreement. This agreementcommits them to refrain from building certain types of weapons. The agreement is supposed tohold for an indefinite length of time. However, A and B remain potential enemies who wouldprefer to be able to cheat and build more weapons than the other. The payoff table for A (player1, the row player) and B (player 2, the column player) in each period after signing thisagreement is below. a) First assume that each state uses Tit-for-Tat (TFT) as a strategy in this repeated game.The rate of return is r. For what values of r would it be worth it for player A to cheat bybuilding additional weapons just once against TFT? b) For what values of r would it be worth deviating from the agreement forever to buildweapons? c) Convert both values you found in parts a and b to the equivalent discount factor dusing the formula given in lecture and section. d) Use the answers you find to discuss the relationship between d and r:…Suppose that an incumbent can commit to producing a large quantity of outputbefore the potential entrant decides whether to enter. So, the incumbent Örst chooseswhether to produce a small quantity or a large quantity. The rival then decides whether toenter. If the incumbent commits to the small output level and if the rival does not enter,the rival makes $0 and the incumbent makes $900. If it does enter, the rival makes $125and the incumbent earns $450. If the incumbent commits to producing the large quantity,and the potential entrant stays out of the market, the potential entrant makes $0 and theincumbent makes $800. If the rival enters, the best the entrant can make is $0, the sameamount it would earn if it didnít enter, but the incumbent earns only $400. Show the gametree. What is the SPNE?53. The Indiana University basketball team trails by twopoints with eight seconds to go and has the ball. Shouldit attempt a two-point shot or a three-point shot?Assume that the Indiana shot will end the game and thatno foul will occur on the shot. Assume that a three-pointshot has a 30% chance of success, and atwo-point shot has a 55% chance of success. Finally,assume that Indiana has a 55% chance of winning inovertime.
- It is the morning commute in Congestington, DC. Of 100 drivers, eachdriver is deciding whether to take the toll road or take the back roads. Thetoll for the toll road is $10, while the back roads are free. In deciding ona route, each driver cares only about income, denoted y, and his traveltime, denoted t. If a driver’s final income is y and his travel time is t, thenhis payoff is assumed to be y - t (where we have made the dollar value ofone unit of travel time equal to 1). A driver’s income at the start of the dayis $1,000. If m drivers are on the toll road, the travel time for a driver onthe toll road is assumed to be m (in dollars). In contrast, if m drivers takethe back roads, the travel time for those on the back roads is 2m (again,in dollars). Drivers make simultaneous decisions as to whether to take thetoll road or the back roads.a. Derive each player’s payoff function (i.e., the expression that gives usa player’s payoff as a function of her strategy profile.)b. Find a Nash…What are four responses to the claim that people should not behave in the way described in this chapter?Why is there asymmetric information in the labor market? What signals can an employer look for that might indicate file traits they are seeking in a new employee?
- 64. (This problem assumes knowledge of the basic rulesof baseball.) George Lindsey (1959) looked at boxscores of more than 1000 baseball games and foundthe expected number of runs scored in an inning foreach on-base and out situation to be as listed in the fileP09_64.xlsx. For example, if a team has a man on firstbase with one out, it scores 0.5 run on average untilthe end of the inning. You can assume throughout thisproblem that the team batting wants to maximize theexpected number of runs scored in the inning.a. Use this data to explain why, in most cases,bunting with a man on first base and no outs isa bad decision. In what situation might buntingwith a man on first base and no outs be a gooddecision?b. Assume there is a man on first base with one out.What probability of stealing second makes an attempted steal a good idea?You and your friend will divide $4. You have agreed to use the following procedure.Each of you will name a number of dollars, either $0, $1, $2, $3, or $4. You will chooseyour numbers simultaneously. If the sum of the amounts is less than or equal to $4, theneach of you receives the amount you named and the rest of the money is thrown away.If the sum of the amounts is greater than $4 and the amounts named are different, thenthe person who named the smaller amount receives that amount and the other personreceives the remaining money. If the sum of the amounts is greater than $4 and theamounts named are the same, then each receives $2. (a)Draw the payoff matrix of this game. Let “you” be the row player and “yourfriend” be the column player.(b) Derive the best reply functions of all players.(c) Find the Nash equilibrium (or all of the equilibria) of this game using thebest reply functions you found in part (a).Two political candidates are vying for town mayor,and the key issue is how much to spend onthe annual Fourth of July fireworks. Among the100 voters, 40 want to spend $30,000, 30 want tospend $10,000, and 30 want to spend nothing atall. What is the winning position on this issue?a. $10,000b. $15,000c. $20,000d. $30,000