1. Many individuals might be willing to contribute $25 to the local community charity drive if they could be assured that others would do so. Explain how the free-rider problem complicates the issue of raising money for charitable purposes.
Q: deadweight loss
A: Deadweight loss refers back to the monetary inefficiency and loss of standard monetary…
Q: A game can have more than one Nash equilibria.(a) True. (b) False.
A: The objective of the question is to determine whether a game can have more than one Nash equilibria.
Q: Anthony and Michelle Constantino just got married and received $24,000 in cash gifts for their…
A: Amount recieved by Couple = $24,000i = 10%t = 25 years
Q: Ramsey model s
A: The Ramsey model, named after the economist Frank Ramsey, is a neoclassical growth version that…
Q: In a market economy, what determines what is produced? producers seeking…
A: The question is asking about the factors that determine what goods and services are produced in a…
Q: A. Nominal GDP in 2002 B. Nominal GDP in 2005 C. Nominal GDP in 2010 D. Nominal GDP Growth 2002-2005…
A: Nominal GDP calculationNominal GDP is computed by multiplying the price and quantity produced for…
Q: Starting with the given of Problem 1 a If Nation A Starting with the given of Problem 1: (a) If…
A: This concept can be described as the agreement between two or more two economies to eliminate…
Q: Snowpeak Ski Resort offers a price for a lift ticket that is barely over its marginal cost, but the…
A: This question addresses the pricing strategy employed by Snowpeak Ski Resort, focusing on the…
Q: If the economy goes into a recession and incomes fall, what happens in markets? Prices of inferior…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: Suppose that the market for bottled water can be represented by the following equations: Demand: P…
A: "As per the policy, the first three sub parts can be answered. Kindly raise the question again for…
Q: Eleanor and her little brother Josh are responsible for two chores on their family’s farm, gathering…
A: Egg (in dozens)Milk (in gallons)Eleanor105Josh22Here it id given that Eleanor can gather 10 dozen…
Q: In the Nash equilibrium of a Cournot game with two firms who have identical marginal costs, each…
A: The objective of the question is to verify the statement about the Nash equilibrium in a Cournot…
Q: Consider a firm that is a monopolist in its output market and a monopsonist in the market for…
A: MONOPOLY:It is situation where there is only a single seller in the market.We can say that the…
Q: How many fish should a commercial fisherman try to catch in a day? Should he catch as many as…
A: The operational expenditures that fisherman spend, such as fuel, labour, and maintenance costs, have…
Q: Which of the following characterizes the Nash equilibrium (or equilibria) of the game (a) {C, L} (b)…
A: Nash equilibrium is a situation where no player has an incentive to deviate from given the strategy…
Q: A housecleaning company receives $36 for each house cleaned. The table below gives the relation…
A: Number of workersHouses cleaned0019217324430535636
Q: Suppose the demand for pizza in a small isolated town is p = 10 - Q. There are only two firms, A and…
A: The Cournot model is a model of oligopoly. Here two firms compete on the quantity of output they…
Q: The demand for organic carrot is given by the following equation Q0 = 75-5P + Pc + 21 where Po is…
A: The objective of the question is to understand the demand function of organic carrots and how it is…
Q: Suppose the working-age population is 50 million, the labour force is 20... Suppose the working-age…
A: The objective of the question is to calculate the number of unemployed people given the working-age…
Q: The figure to the right illustrates the demand for taxi rides in a large city. Suppose the price per…
A: Price Elasticity is useful in making decisions for business firms. It helps in the pricing decisions…
Q: Is the price of a concert ticket micro or macro
A: Microeconomics deals with the behavior of individual economic agents, such as consumers, firms, and…
Q: In Bushville, residents typically either work as salaried employees or owns small business on…
A: The objective of the question is to understand the concept of opportunity cost, how it affects the…
Q: The following graph illustrates the market for cashews. It plots the monthly supply of cashews and…
A: Elasticity, in economics, refers to the degree of responsiveness of one variable to changes in…
Q: city in a developing country does not have a provider of water and sanitation services, leading to…
A: The government needs to set p below the marginal cost. Then, part of the producer surplus will…
Q: please solve for the sub questions from d to k...you already solved for a to c..thanks
A: The demand function signifies a functional correlation between the price and the quantity demanded…
Q: A good with no close substitutes is predicted to have relatively inelastic demand, since consumers…
A: The elasticity of demand:The elasticity of demand is calculated as the proportional change in…
Q: The table below includes data for a one-year period required to calculate GDP from the income side…
A: Domestic income refers to the total income that a country earns by producing goods and services…
Q: 6. Law of Demand 2 Suppose that your demand schedule for pizza is as follows: Price (Dollars) 8 10…
A: The term elasticity can be understood by its literal meaning. It means how elastic a variable is…
Q: What do the distinctions between short-run aggregate supply and long-run aggregate supply have in…
A: Aggregate supply refers to the total output that the producer is ready and willing to sell at a…
Q: Choose the following topic that would likely not be studied by a macroeconomist.…
A: The objective of the question is to identify the topic that would not typically be the focus of a…
Q: 28) Empirical evidence from 1960 to 2010 shows that convergence in economic growth is occurring in…
A: ***Since the student has posted multiple questions, the expert is required to solve only the first…
Q: Using a two-good coordinate system with ice cream on the horizontal axis and cake on the vertical…
A: The indifference curve is the graphical representation of the different combinations of goods that…
Q: Suppose that federal spending in a country was $340 million in Year 1, $400 million in Year 2, and…
A: The Consumer Price Index (CPI) measures the average change in consumer prices based on a…
Q: QUESTION 7 Figure 13-5 11 10 9 8 7 6 OO 1 ↑ Cost 1 2 3 4 5 d. D C B Refer to Figure 13-5. Curve A is…
A: The cost is the expenditure of a firm when it utilizes its resources for producing goods and…
Q: is paid a salary of $480 a week at her job. She worked 9 hr of overtime during the holidays, and her…
A: The concept of salary can be explained as fixed regular payments given by a provider to an employee,…
Q: has an absolute advantage in the production of maize, and Loc's opportunity cost of producing 1…
A: The following graph depicts Loc's Production Possibilities Frontier (PPF). This curve depicts the…
Q: The data in the table below are for kilos of prawns. Price $24 26 28 30 32 34 36 Quantity Demanded…
A: Equilibrium Price: The price at which the quantity demanded equals the quantity supplied in a…
Q: Suppose the Farsighted Forecasting Group, an organization of private economists, predicts that the…
A: Macroeconomics examines the working, composition, and dynamics of an economy. To comprehend and…
Q: Total population using economic base analysis Total employment using economic base analysis Total…
A: The expected or forecasted population for a certain future year is referred to as the projected…
Q: Find the elasticity of scale and the elasticity of substitution for the CES production function: 1…
A: The graphic includes a written solution for calculating the elasticity of scale and elasticity of…
Q: Consider oligopoly models with two firms who have identical marginal costs. The size of the…
A: The objective of the question is to determine whether the size of the deadweight loss in an…
Q: Suppose the quantity demanded, q, of a product when the price is p dollars is given by the equation…
A: The equation for demand curve is The equation for supply curve is We are to find the equilibrium…
Q: 2. Suppose we are considering fire hydrants in a small neighborhood. For simplicity, assume that…
A: Public goods refers to goods that are both non-rival and non-excludable.Non-rival is a property of…
Q: Consider an investment with the following cash flows: YEAR Cash flow 1 Submit $103.00 2 $207.00 If…
A: The value of the opportunity today refers to the present value of the investment, which represents…
Q: Which of the following would be an example of a microeconomics study on the effects of consumer…
A: The objective of the question is to identify which of the given scenarios would be an example of a…
Q: consumers want more avocados, prices of avocados will: O increase, signaling producers to grow more.…
A: The issue here is understanding the way the expansion in customer interest for avocados influences…
Q: The local currency in Peru is the Peruvian Nuevo Sol (PNS). In 2020, the official exchange rate…
A: PPP exchange rate is the value of the currency in the domestic market that is converted into the…
Q: The following graph shows the domestic supply of and demand for wheat in Kenya. Kenya is open to…
A: The objective of the question is to determine the tariff per bushel that the Kenyan government needs…
Q: Explain how the profit-maximizing rule of setting P = MC leads a perfectly competitive market to be…
A: A large number of sellers and buyers with homogeneous products in a market is knwn as perfect…
Q: 6. All else being equal, how will the following events affect price and quantity in the Canadian…
A: The objective of the question is to understand the impact of various events on the price and…
1. Many individuals might be willing to contribute $25 to the local community charity drive if they could be assured that others would do so. Explain how the free-rider problem complicates the issue of raising money for charitable purposes.
2. Jones gets a real bargain on 100 acres of land because it is near an airport. He decides to use the land to breed his prize-winning race horses. One year after buying the land, Jones sues the airport because his horses, disrupted by the noise of jet planes, are not breeding. If you were the judge, how would you decide Jones' case? Why?
Step by step
Solved in 3 steps
- 1. The prairie dog has always been considered a problem for American cattle ranchers. They dig holes that cattle and horses can step in, and they eat grass necessary for cattle. Recently, ranchers have discovered that there is a demand for prairie dogs as pets. In some areas, prairie dogs can sell for as high as $150 each. Cattlemen are now fencing off prairie dog towns on their land so these towns will not be disturbed by their cattle. Draw a rancher's production possibilities frontier showing increasing opportunity cost of cattle production in terms of prairie dog production. Using a separate graph for each situation, show what would happen to the initial production possibilities frontier in each of the following situations: a. The outcome is efficient, with ranchers choosing to produce equal numbers of cattle and prairie dogs. b. As a protest against the government introducing the gray wolf back into the wild in their state, ranchers decide to withhold 25 percent of the available…4. Hydraulic Fracking is the process of drilling and injecting fluid into the ground at a high pressure in order to fracture shale rocks to release natural gas inside to be sold as an energy source. Up to 600 chemicals are used in fracking fluid, including known carcinogens and toxins. This is an example of a... a. Negative production externality b. Negative consumption externality C. Positive production externality d. Positive consumption externalityPart 1 that current actions do not compromise the well-being of future generations. It recognizes that Sustainability is a critical concept in economics and environmental science, aiming to ensure traditional market mechanisms can sometimes lead to market failures, particularly in cases where environmental and social costs are not fully considered. Market failures, such as overexploitation of natural resources, pollution externalities, and the depletion of common- pool resources, can have adverse consequences for both the environment and society. To avoid market failures and promote sustainability, various strategies are employed. Governments often step in with regulations and policies that address externalities, establish property rights, and set standards to limit harmful activities. Additionally, sustainability initiatives encourage responsible resource management, green technologies, and corporate social responsibility...... Referring to the text, Briefly explain how sustainability…
- 9. A village is located next to 1000 acres of prime grazing land. The village presently owns the land and allows all residents to graze cows freely. Some members of the village council have suggested that the land is being overgrazed. Is this likely to be true? These same members have also suggested that the village should either require grazers to purchase an annual permit or sell off the land to the grazers. Would either of these be a good idea?Competitive Markets and Externalities 1.What impact do policy interventions have on the supply and demand equilibrium for a product? Provide specific examples 2.What are the determinants of price elasticity of demand? Identify at least three examples? 3.Explain how price elasticity can impact pricing decisions and total revenue of the firm? 4.can policy market interventions cause consumer or producer surplus? Explain why using specific reasoning.1. Choose one of the approaches listed below for protecting elephants from poachers in African countries. A. The government sets up enormous national parks that have sufficient habitat for elephants to thrive and forbids all local people to enter the parks or to injure either the elephants or their habitat in any way. B. The government sets up national parks and designates ten villages around the park's edges as official tourist centers that become places where tourists can stay and bases for guided tours inside the national park. 2. Depending on the approach you have chosen (A or B), explain how the incentives will affect the local villagers, who are often very poor. 3. Which approach (A or B) seems more likely to help the elephant population?4. Discuss the practice of poaching elephants and the need for environmental protection? 5. Explain how the practice of poaching elephants is a negative externality?
- Instructions There is often a temptation to take a dim view of profits. Some people seem to believe profits come at the expense of buyers. It is easy to reason that if profits were lower, prices could be lower thus benefiting consumers. a. What are economic profits? Explain in detail. b. Do economic profits harm the interests of consumers? Explain in detail. c. Can there be a socially useful outcome when economic profits exist? Explain in detail. d. Do lower prices always benefit consumers? Explain in detail.Question 3 Some reasons why resources could be allocated inefficiently by the market are negative externalities and positive externalities. (a) Explain, using graphs, what the problem is in each case, and explain possible solutions to each problem. (b) All of these problems might be described as arising due to poorly defined property rights. Explain the relationship of property rights to these instances where the market fails to allocate resources efficiently. (c) Explain how a corrective tax can eliminate the inefficiency caused by a negative externality. Use a graph to assist your explanation (d) Why does the optimal tax promote the efficient use of resources?Imagine that a town of 200 people is trying to decide whether to pay for mosquito control. The town has surveyed their citizens and they each say they value mosquito control at $75. Mosquito control only costs $2,500 so the town goes ahead and pays for the service. When the town asks for donations to pay for the mosquito control, they only receive $1,000. What does this result show? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a The town's citizens were free riders. b The mosquito control suffered from the tragedy of commons. The mosquito control cost must have been greater than its economic benefit. d. The town's survey must have overestimated the value of mosquito control.
- 1. Ya-Mona argues that the ethical order should hold primacy over the economic order. What does he mean by this and what arguments does he give in support of this view. What is the best objection to Ya-Mona's view? Is this objection successful? Why or why not? Explain your answer in detail.4. When handling insects, knowing where the pests are thickest can help save on insecticide usage. But scounting for bugs also comes at a price. Determine the appropriate blend of insect scouting and insecticide to manage your insect issues on the farm. Complete the following worksheet considering the different strategies for soybean production and answer the accompanying questions. The price of insect scouting is $30 per hour and insecticide is $6 per quart. Strategy Scounting (hours) Insecticide (quarts) Input Substitution Ratio Input Price Ratio 1,200 40 600 80 300 D. 120 120 (a) What economic question/opportunity does this address? What is the appropriate decision rule for input substitution? What does that rule to seek to achieve (be more specific than saying "profit maximization")? (b) What is the profit maximizing strategy? What is the cost associated with that strategy? (c) Explain how the input price ratio will change if both input prices decrease from the initial scenario by…7. Study Questions and Problems #7 Environmentalists in Tennessee brought suit against the Champion Paper Company of North Carolina for polluting the Pigeon River, which flows from North Carolina into eastern Tennessee. Tennessee claimed that the coffee-colored water smelled bad and would not support fishing or swimming. Environmentalists requested that the river be restored to its pristine state, or the water quality it had before the coming of industry. The Environmental Protection Agency (EPA) heard the suit and applied an efficiency standard. In other words, the EPA set limits on how much pollution the paper company could release (though this number was not zero). Adjust the following graph to indicate the negative externality. PRICE (Dollars per sheet) 2 1 0 10 9 Supply Demand 8 Demand 5 7 8 10 QUANTITY (Sheets of paper) Supply ? When the EPA imposes standards on the paper company, the quantity of paper produced will company will . The new equilibrium price is $ and the price of…