When the government finances a shovel-ready project through taxes or borrowing, this will result in
What will be an ideal response?
higher taxes or interest rates, which will reduce private sector employment.
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The Sherman Act of 1890 was passed to prohibit
A) combinations, trusts, or conspiracies to restrict interstate or international trade. B) monopolization or attempts to monopolize interstate or international trade. C) both of the above. D) neither of the above.
Your company sells health food products, and you have recently developed a new high-protein drink (HPD) as well as a high-carbohydrate energy bar (HCE)
As the product manager for the firm, you are responsible for setting the pricing policy for the new products. You are considering a bundled package that includes both products, and you assume the marginal cost of production is zero for planning purposes. You have identified four basic types of consumers who may buy these new products, and their reservation prices for the two new products are provided in the following table: Type HPD HCE A $0.50 $1.80 B $0.80 $1.10 C $1.00 $0.90 D $1.40 $0.30 a. Suppose you sell the two products separately, and each buyer is expected to purchase one unit of the product per day. Which prices for HPD and HCE maximize daily revenue? What is your daily revenue from selling both products to the four customers under separate pricing? b. If you offer the two products under a pure bundling strategy, what is the revenue maximizing bundle price? What is the daily sales revenue from the pure bundling scheme? c. Please develop a mixed bundling strategy that generates higher daily sales revenue than the pure bundling strategy. What is the daily sales revenue generated under mixed bundling?
Which of these changes was observed in the U.S. between 1929 and 1933?
a. The aggregate supply curve shifted inward with no change in the aggregate demand curve. b. The aggregate demand curve shifted inward with no change in the aggregate supply curve. c. The aggregate demand curve shifted outward with no change in the aggregate supply curve. d. The aggregate supply curve shifted outward with no change in the aggregate demand curve. e. The aggregate supply and demand curves both shifted outward.
Refer to the above figure. Medicare subsidies have increased the price of medical services to Ps. Which of the following statements is TRUE about the effect the Medicare subsidy has had on the consumption of medical services?
A. The amount of medical services provided has increased from Qd to QM as a result of the subsidy. B. The amount of medical services provided has decreased from Q0 to Qd as a result of the subsidy. C. The amount of medical services provided has remained unchanged as a result of the subsidy. D. The amount of medical services provided has increased from Q0 to QM as a result of the subsidy.