Mary is a single mother, with $250 in nonlabor income per week, and she can earn $15 per hour working between 0 and 60 hours per week. If Mary decides to work, then she will neeed to pay high-quality day care, which costs a fixed $150 per week. Now suppose a welfare program is put in place to subsidize the cost of day care for single mothers working at least 20 hours per week. Suppose that as long as the single mother works less than 40 hours, the full $150 cost is reimbursed. For those work more than 40 hours per week, the $150 rebate is reduced by $7.5 for every additional $15 earned (i.e. every additional hour worked), so that it is completely phased out for those work 60 hours. Draw a diagram that reflects the budget line with this new program in place. (Don't worry about being exactly proportional, just capture the main features of the program, i.e. intercept, slope, and kinked points if any.)

In the US, a cash market for kidneys is not allowed. That is, one is not allowed to sell one’s kidney (or another’s) for money nor profit. Discuss the problem of allocating kidneys without a cash market and discuss how a cash market might solve the problems of those who might supply or demand a kidney. Following Hazlitt, include as part of your discussion not only the groups directly party to such a cash market transaction, but also at least one party not directly involved that would be impacted by the market’s creation.

An auto-part manufacturing company is considering the purchase of an industrial robot to do spot welding, which is currently done by skilled labor. The initial cost of the robot is $250,000, and the annual labor savings are projected to be $125,000. If purchased, the robot will be depreciated under MACRS as a seven-year recovery property. This robot will be used for five years after which the firm expects to sell it for $50,000. The company’s marginal tax rate is 25% over the project period.

Determine the net after-tax cash flows for each period over the project life. Assume MARR=15%.

6. (20 pts) Explain your diagram and show your work. Tanya’s Trucking (T2) has a local monopoly in trucking services. The demand curve and cost curve faced by her firm are as follows: P = 2410 – 4Q C = 50,000 + 10Q + 4Q2

a. Calculate the profit maximizing price and quantity. Calculate monopoly profit. Use a diagram to illustrate your answer. Show the Demand, MR and MC curves. You do not need to show the AC curve. Show the consumer and producer surplus which results from monopoly on your diagram.

b. What would output and price equal if T2 acted like a perfectly competitive firm and set P = MC? Show the perfectly competitive outcome and the resulting producer and consumer surplus on your diagram from part a.

c. Identify the welfare gain from moving to perfect competition from monopoly on your diagram and then compute the value of this gain.

1. A monopolistically competitive firm in long-run equilibrium:
   1. will make negative profit.
   2. will make zero profit.
   3. will make positive profit.
   4. Any of the above are possible.
   5. None of the above are possible.
2. The Cournot model of symmetric duopoly suggests that the market equilibrium position is such that:
   1. one firm is larger than the other in the final equilibrium and the largest firm produces the largest quantity of output.
   2. economic profits are zero for both firms.
   3. total industry output is the same as it would have been in a perfectly compet- itive market.
   4. all of the above.
   5. none of the above.
3. In the Bertrand model with homogeneous products,
   1. the firm that sets the lower price will capture all of the market.
   2. the Nash equilibrium is the competitive outcome.
   3. both firms set price equal to marginal cost.
   4. all of the above
   5. none of the above
4. If an individual’s labor supply curve is backward bending, then
   1. the income effect associated with a higher wage is greater than the substitution effect.
   2. the substitution effect associated with a higher wage is greater than the income effect.
   3. the substitution effect associated with a higher wage encourages more leisure.
   4. A and C
   5. B and C

Can I please get a step by step (either video or written out) for this question. I don't know where to find the step by step videos. They are EXTREMELY helpful. The inverse demand for a homogeneous-product Stackelberg duopoly is P = 16,000 -4Q. The cost structures for the leader and the follower, respectively, are CL(QL) = 3,000QL and CF (QF) = 6,000QF.. a. What is the follower’s reaction function? b. Determine the equilibrium output level for both the leader and the follower. c. Determine the equilibrium market price. Determine the profits of the leader and the follower.

Subject is Economics

Identify the factors that have caused an increase in prison populations in the United States?

Summarize the characteristics of state and federal parole systems?

In your opinion, what is the political significance of Chinese state-owned enterprises?

Summarize the characteristics of state and federal probation systems?

Consider a monopoly with a sort run total cost of TC= 36+Q^2 - and marginal cost: MC=2Q - facing a market demand curve of P=36-Q.

QUESTION: Graph and calculate the consumer surplus, profit, and deadweight loss to welfare.

Describe the circumstances under which a firm chooses a low-cost strategy to attain sustainable competitive advantage. What about the situations when a differentiation strategy is chosen? Provide specific real world examples.

2. Suppose that the small country describe in Q1 moves from autarky to open its economy to international free trade and the world price for this particular good is $100.

Q^S = 2P - 20

Q^D = 600 - 3P

a) Solve for the new equilibrium. Specifically, what is the quantity bought by the domestic consumers and the quantity sold by the domestic producers? Is this country importing or exporting this good and how many units? Calculate the new consumer, producer and total surpluses and the gains from trade in this market due to free trade. (6 points)

b) If the government decides to impose a tariff of $10 per unit imported in this market, solve for the new equilibrium. Specifically, what is the new quantity bought by the domestic consumers and the quantity sold by the domestic producers? Is this country importing or exporting this good and how many units? Calculate the new consumer surplus, producer surplus, government revenue and the deadweight loss. (7 points)

Claim that Adam Smith's theory of the marketplace outdated. Provide 3 reasons and examples to support this claim