State A and B has each confirmed 80 COVID-19 patients. The national government wants to reduce...

State A and B has each confirmed 80 COVID-19 patients. The national government wants to reduce their cases by allocating vaccines. Suppose the marginal costs associated with COVID-19 treatment are MCA =50+3QA for state A and MCB = 20 + 6QB for state B, where QA and QB are the quantities of COVID-19 recovery in each state. The country’s marginal benefit from COVID-19 control is given by MB = 620 − 3QT, where QT is the total recovery after treatment. 1) What is the socially optimal level of each state’s recovery? 2) How many total confirmed cases are there in the social optimum? 3) Suppose only the Federal government has limited vaccines, explain why it is inefficient to allocate each state an equal number of vaccines without rights for them to trade. 4) Explain how the social optimum can be achieved if states are given equal numbers of vaccines but are allowed to trade them. 5) Can the social optimum be achieved using a subsidy on treatment? If so, at what value?

Expert Solution

Rahul Sunny answered 2 years ago

Having confirmed the positive impact of widget-corn consumption on COVID-19 patients, the government has ordered widget-corn...

Having confirmed the positive impact of widget-corn consumption on COVID-19 patients, the government has ordered widget-corn sellers to charge $5 per kilogram. What type of price regulation policy is this? Briefly explain. Calculate the impact of the policy on the quantity of widget-corn supplied and demanded. Explain the impact of the policy consumer surplus, producer surplus, and total economic surplus. Is the outcome of the government’s policy efficient and, therefore, maintained or abandoned? Explain in detail. please provide me with...

On March 29th the number of confirmed cases of the Covid-19 per state was obtained from...

On March 29th the number of confirmed cases of the Covid-19 per state was obtained from the internet. A random number generator was used to get the sample data on the sheet named Sample data What is the lower boundary on the 95% confidence interval for the whole number average of confirmed Covid 19 cases in the country? What is the upper boundary on the 95% confidence interval for the whole number average of confirmed Covid 19 cases in the...

If California has 400769 confirmed cases of COVID-19 and 7,769 deaths related to the disease find...

If California has 400769 confirmed cases of COVID-19 and 7,769 deaths related to the disease find as 95% confidence interval for California’s death rate for COVID-19.

Do you think the COVID-19 crisis has confirmed Marx’s theory of class? What has the crisis...

Do you think the COVID-19 crisis has confirmed Marx’s theory of class? What has the crisis exposed about the conflicting interests of workers and employers?

Explain four (4) preventive strategies the Government of Canada is taking to reduce and/or eliminate COVID-19?

The country is (SPAIN) 1. It is required to gather (i) the number of confirmed COVID-19...

The country is (SPAIN) 1. It is required to gather (i) the number of confirmed COVID-19 cases, (ii) cured (recovered), and (iii) deaths for each day from February 1st until May 15st *. 2. Plot three scatter graphs including conformed COVID-19 cases (?1), cured (?2), and (?3) vs week. 3. Verify that the seasonal variation for ?? ? = 1,2,3 is constant or increasing. 4. Use the natural logarithm transformation to produce a transformed series for each ?? ? =...

Covid 19: One of the problems that arises with patients suffering from COVID 19 is due...

Covid 19: One of the problems that arises with patients suffering from COVID 19 is due to accumulation of fluid in their lungs. This makes it very difficult to breathe. You have walked into the emergency room and the interns are arguing about osmosis, diffusion and the symptoms of Covid. One of the interns is arguing that there is no link between the sysmptoms of Covid and osmosis and the other is saying yes there is. Since they know you...

The table shows the number of confirmed COVID-19 infected cases, number of death and number of...

The table shows the number of confirmed COVID-19 infected cases, number of death and number of recovered cases in four countries according to 5/4/2020 global record. The total confirmed cases around the world is 1249636, the total number of death around the world is 68069, and the total number of recovered cases around the world is 256860. Calculate the following: 1- The % of death of the number of the infected cases in each of the four countries. 2- The % of...

Exhibit Symptom of COVID-19 Study shows that about 70% of the COVID-19 patients have a dry...

Exhibit Symptom of COVID-19 Study shows that about 70% of the COVID-19 patients have a dry cough (which does not bring up any mucus or phlegm). To use hypothesis testing method to check the credibility of this study, you randomly surveyed 25 patients of COVID-19 and 18 of them answered that they are having dry cough. 1. Refer to Exhibit Symptom of COVID-19. What is the value of the test statistics? 2. Refer to Exhibit Symptom of COVID-19. Which of...

The COVID-19 crisis has led to unprecedented shock to the state of the macroeconomy. Use the...

The COVID-19 crisis has led to unprecedented shock to the state of the macroeconomy. Use the IS-LM curves as well as the AD-AS curves to show how the economy will correct itself if prices are sticky or sluggish. Compare this to how the economy will correct itself when we assume prices are flexible or adjust easily over the course of a year. In one or more paragraphs explain what should happen when the economy corrects itself under each scenario. Also,...

Question