Australia’s bushfires in 2019 reignite its debate about climate change. In this assignment, you will discuss the public policies on greenhouse gas emissions, an important contributing factor to climate change.

1. Many observers believe that the levels of greenhouse gas emissions in our economy are too high.

a. If society wants to reduce overall emission by a certain amount, why is it efficient to have different amounts of reduction at different firms?

b. Economics usually prefer corrective taxes over regulations as a way to deal with greenhouse gas emissions. Can you explain why? (Hint: Can regulations target the firms that should undertake bigger reductions?)

c. Suppose there is a sharp development in the technology for controlling greenhouse gas emissions. Using a diagram for the market for emissions, illustrate the effect of this development on the demand for emissions rights. What is the effect of a carbon tax on the price and quantity of emissions? Explain.

d. The demand for emission rights depends on the time horizon. In the short term, the demand for emission rights is likely inelastic because firms may not have many alternatives. Over time, however, demand becomes more elastic because more alternatives are developed. Illustrate the effects of an increase in carbon tax on emissions in the short run and in the long run. Explain

1. Assume that consumers in country suddenly decreased their expenditure. Show graphically the short run and long run impact of this decrease on the macroeconomic equilibrium point using AD and AS model (assume that the country's economy initially operates at the potential level of GDP and there is no government intervention). Briefly explain.
2. On December 13, 2017, the US Central Bank Chairman, Prof. Jeanette Yellen, announced an increase in the interest rate. Use the money market model to show graphically how the US central Bank could achieve this target. Make sure you show the old and new equilibrium interest rates. Briefly explain.

The Airline industry provides passenger and freight transport services through its fleet of aircraft flying to domestic and international destinations. The industry is part of the air travel value chain which includes suppliers as well as distributors of the main service provider, the airlines' company. The chain is set up to cater to the needs of the ultimate customers in the process, air travellers.

Qantas Airlines is the designated national carrier of Australia. It operates both domestically and internationally. The company operates 285 aircraft, has assets of $18.6 billion and employs 29,200 staff. In Australia, Qantas is the dominant local airlines with 62.5% market share. The only other significant competitor, Virgin, is a far second with 27.9%.   Through Qantas’ subsidiary, low-cost carrier Jetstar, it achieves wider market coverage, complementing their premium service offering.

Airlines require aviation fuel which is a major cost factor in their operations. Aviation fuel can account for more than 40% of an airline’s operating costs. Supplying Qantas its fuel requirements are petroleum refiners and wholesalers delivering to airports where Qantas planes depart from.

One such aviation fuel provider is Viva Energy which operates a refinery in Geelong, the second-largest facility in the country. Ten per cent of the Geelong refinery’s output is for aviation fuel production, which supplies 37% of the airline industry’s fuel requirement. Viva negotiates directly with airline companies regarding the supply of aviation fuel for their aircraft to be made available at Australian airports. Viva delivers fuel to 50 airports across the country.

Under a license agreement with Royal Dutch Shell, Viva supplies some 1150 petrol retail outlets across Australia with Shell-branded fuels and lubricants. Combined with the aviation fuel business, the supply of retail products gives Viva products a 26% share of the total Australian fuel market, second only to market leader Caltex at 38%.

The last two decades have seen the prevalence of the Internet and mobile technologies in many business processes. This has spurred the growth of many industries devoted to mediating new modes of interactions between service providers and consumers. The online travel booking industry is an example and Webjet with annual revenue of $200 million leads the industry in Australia and New Zealand. The company markets and transacts airline tickets and other travel-related services to consumers (82% of revenue) and corporate clients (18% of revenue). Webjet has a predominantly online business model as contrasted with traditional travel agents operating from shop-front outlets.

The online travel booking industry in Australia is highly concentrated with the four major players accounting for some 70% market share. The competition has been described as of high intensity. The relatively low barriers in entering the market have encouraged smaller players to participate, thus aggravating competition further.

1. Discuss the air travel value chain analysis by considering the part played by Qantas, Viva, and Webjet to the competitive air travel service industry.

Consider 5 bidders whose values are independently and uniformly distributed over [0, 600].

1. Suppose that the values of the bidders are 120,200,240,400 and x. For what values of x, we would have the same selling price in Second-Price Auction (SPA) and FPA? (Hint: there are two solutions!) please explain in more detail,thanks

What was the impact of federal, state, and local governments on the American economy and civil rights in the 1950s.

critics of stabilization policy argue that
(x) the policy can be a source of, instead of a cure for, economic fluctuations because the lags associated with a discretionary policy create the possibility that an expansionary fiscal policy is implemented when the economy has already adjusted on its own to the natural rate of output.
(y) lags exist between the time that an economic downturn is recognized, when an appropriate fiscal policy is passed in the legislature, when the policy is implemented and when the policy impacts the economy.
(z) the impact of policy may last longer than the problem it was designed to offset.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (z) only

which of the following statements is (are) correct?
(x) Automatic stabilizers are changes in taxes or government spending that increase aggregate demand without requiring policymakers to act when the economy goes into recession.
(y) Open market operations by the Fed are automatic stabilizers because the FOMC automatically responds to a recession by decreasing the money supply.
(z) If there is no change in the unemployment compensation program, then the total amount of benefits paid to participants in the program will fall during economic expansions and rise during recessions.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (z) only

Which of the following statements is (are) correct?
(x) The multiplier effect tends to make aggregate demand shift further to the right than the amount by which government expenditures increase.
(y) The government builds a new water-treatment plant. The owner of the company that builds the plant pays her workers. The workers increase their spending. Firms from which the workers buy goods increase their output. This type of effect on spending illustrates the multiplier effect.
(z) The investment accelerator occurs when an increase in government expenditures increases aggregate spending so that Burgerville finds it profitable to build more new restaurants.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (z) only

Which of the following policies would someone recommend if they want the government to follow an active stabilization policy?
(x) If there is a reduction in investment demand that causes aggregate demand to shift, then the government should increase spending or reduce taxes if the government wants to stabilize output.
(y) If the economy is experiencing unemployment above the natural rate, then the government should decrease the money supply
(z) If Congress raises taxes to balance the federal budget, the Fed can act to prevent unemployment and recession while maintaining the balanced budget by selling bonds to stabilize output.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (x) only

According to supply-side economists, which of the following statements is (are) correct?
(x) A reduction in the tax rate provides an incentive for people to work more and the increased work effort causes production to increase.
(y) If the government cuts the tax rate, workers get to keep more of each additional dollar they earn, so work effort increases, and the aggregate supply curve shifts to the right
(z) A reduction in the tax rate always increases government tax revenue.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (z) only

1. Predict and explain the effects of a minimum wage increase in the money market.

using a simple graph

1. Consider the Solow growth model. In the current period there are N = 1000 consumers and the population grows annually at a rate of 2%. The production function is given by Y = zK^(α)N^(1−α) where α = 0.4 and z = 1.1. The depreciation rate is δ = 0 and the savings rate is s = 0.2.

a. Find steady-state output and consumption per capita in the current period.

b. Find aggregate output, aggregate consumption and aggregate capital in the current period and after 10 years. By what percentage does aggregate output, aggregate consumption and aggregate capital grow over 10 years?

c. At the beginning of the current period the population growth rate increases to 4% for the current period and in the next period returns to the previous 2% growth rate indefinitely. Calculate output per capita for the next two periods. Calculate aggregate output for the next two periods. Calculate the long-run output per capita.

Social media has really become a major part of most peoples’ lives. A recent article in the Washington Post claims that teenagers on average spend 6 to 8 hours a day on social media. Adults also spend extensive time on social media as well. One of the major issues involved with the success or failure of social media is how many of a person’s friends are also using the same social media. Facebook is a form of social media that dominates much of the social media landscape. Grandma and grandpa as well as mom and dad are all on Facebook and most people have an account in order to socially interact with others in a common space. Yet there are many people who find the information sharing policies of Facebook distasteful. Others find the interactions on Facebook to be unpleasant and the content pointless.

If so many people dislike Facebook then why is it still such an important social media website? Why don’t more people simply leave if they dislike its services? Why do people continue to use a social media site even when they find the services it provide to be distasteful? What alternatives to social media sites do you think should exist? Why?

. How did the growth of the factory system limit the traditional freedoms of American artisans, and how did they respond? *APUSH*

Covid-19 makes us recognize those people whose jobs are indispensable to the functioning of society, including front-line health-care workers, grocery workers, and delivery workers. Many earn low incomes while bearing the risk of becoming infected to meet other people’s living and medical needs. What new perspective does Covid-19 give you on the different importance of the essential/non-essential jobs to our economy? (You may want to refer to the material on care from Nancy Folbre earlier in the semester.) Feel free to reflect on how Covid-19 may have altered your future career plans.

1) Please give an example of a market that comes close to being considered perfectly competitive.



2) What does it mean when firms in a perfectly competitive market earn $0 in economic profits?



Write at least one paragraph on these questions