Use the following information to answer the next four questions: Consider two municipalities, A and B, in the same province. Residents in municipality A enjoy attending outdoor music concerts (a public good) held in their public park. Each resident in municipality A has a marginal benefit curve for these concerts given by MB=10-2Q, where Q is the number of outdoor concerts. There are 100 residents in this municipality. Residents in municipality B do not enjoy outdoor music concerts (they are more into sports activities). Each resident in municipality B therefore receives no marginal benefit for these concerts. There are 400 residents in municipality B. Each municipality has the same constant marginal cost of providing these concerts given by MC=125. Suppose outdoor music concerts are typically financed by municipalities with distortionary taxation and that the marginal cost of public funds is MCF=1.6 (assume with no tax exporting).

44. The efficient number of concerts in municipality A is _______________.

45. The efficient number of concerts in municipality B is _______________.

46. Now suppose the two municipalities amalgamate. As a result assume that each of the two municipalities is required to have the same number of concerts and that the number in each municipality is the average of the number before amalgamation. The total loss in net social welfare resulting from the requirement that the two municipalities provide the same number of concerts is $ ___________________.

47. Suppose that instead of financing their concerts with distortionary taxation each of the municipalities (before their amalgamation) had the option of shifting all their tax burden (of financing their concerts) to other jurisdictions through tax exporting. Under this scenario, the number of concerts provided by municipality A (before its amalgamation) would have been ____________.

Please answer with work!!

Michael Porter has argued that “the intensity of competition in an industry is neither a matter of coincidence nor bad luck. Rather, competition in an industry is rooted in its underlying economic structure.” What does Porter mean by “economic structure”? What factors besides economic structure might be expected to determine the intensity of competition in an industry?

What did economic data tell us about the health of the economy on February 1, 2020 before the advent of the COVID-19 pandemic. Assess the health of the U.S. economy on February 1 by evaluating the key economic indicators that we have looked at in this course. How close was the overall economy to potential GDP and the natural rate of unemployment? Was the economy experiencing an inflationary or recessionary gap? The relevant economics statistics that you should discuss include the growth rate of real GDP, the unemployment rate, and the inflation rate at a minimum. You are encouraged to discuss and evaluate other economic indicators such as stock market indices that could add to a more complete picture of the state of the economy as of the beginning of our course. of February 1, 2020 (before the rapid spread of the Coronavirus) Was the United States economy’s Short Run Aggregate Supply Curve? Explain your answer carefully using As economy operating in the Keynesian, intermediate, or neoclassical portion of the the data and information that you have gathered regarding real GDP, unemployment, the GDP deflator, and inflation in the previous discussions. You should discuss the concepts of potential GDP and the natural rate of unemployment to receive full credit

Suppose the economy is in a long-run equilibrium. Currently because of all oil producer producing high amount of oil, the world is in abundance of oil causing the price of oil to fall, even the price is negative. In addition, covid 19 pandemic also slowering the economy and lowering global demand significantly. Use the model of aggregate demand and aggregate supply to illustrate the equilibrium change caused by this event (both because of oil price fall and covid 19). Be sure to include both short-run and long-run aggregate supply.

Cartels usually breakdown because of what?

• Cartels can only be effectively run if they use Game Theory software.

• They can't control the supply of the good or service.

• They can't control the market price.

• Usually there is one greedy firm in the cartel that will break the cartel agreement and sell at a lower price to grab as much market share as they can.

An economy has full-employment output of 1500. Suppose desired consumption and desired investment are ? ? = 125 + 0.75(? − ?) − 400? ? ? = 200 − 100?

G is the level of government purchases, and T=100 1.

Goods market and the IS curve section.

a) Derive desired saving with respect to Y and r if the government spending, G, is 150.

b) Find the goods market clearing real interest rate if the full-employment output is 1500 and the government spending, G, is 150.

c) Derive the IS curve based on part (a) and (b).

d) Now, the government decided to use the expansionary fiscal policy. The government increases the government spending by 50 (so, G=200) but did not change the taxes, T (T=100). The full employment output is still 1500. Find the goods market clearing real interest rate, the amount of desired saving and investment.

e) Based on the part d), Find the IS curve. f) Draw the desired saving curves and the desired investment curve from part (b) and (d). Show the real interest rate and the amount of desired saving (or the investment) at each equilibrium of the goods market.

g) Graph IS curve from part (c) and part (e). (Mark the label of the IS curve with IS1(G=150) and IS2(G=200)

2 - Money demand is ?? ? = 0.8? − 2000(? + ? ? ) where the expected rate of inflation, ? ? , is 0.05. The nominal supply of money M = 2000.

2. Asset market equilibrium and the LM curve.

h) Find the price level that clears the asset market if the real interest rate, r, is equal to the goods market equilibrium real interest rate in part (1-a) [Hint: Use the answer in part (1-a) for r]

i) Derive the LM curve when the price level is equal to the solution in part (h) [Hint: Use the price level from the part (2-h) to get the real money supply]

j) When the government use the expansionary fiscal policy with G=200, the goods market equilibrium real interest rate was changed (in the part (1-d).

If the money market also have this real interest rate at new equilibrium, how does the price change? Show the price level to get the real interest rate from the part 1-d) as the new money market equilibrium. [Hint: use the part (1-d) real interest rate to get the new price level.]

k) Graph the money market equilibrium from the part (2-h) and (2-j) with the real money demand curve and the real money supply curve.

l) In the part (2-j), the price is changed so it causes a change in LM curve. Derive the LM curve with the new price level from (2-j)

3. General equilibrium with the change in the government spending.

g) Draw the IS curves, LM curves and FE curve when the full employment output of 1500 on the Y-r

You need to draw two IS curves (from the part (1-c) when G=150 and the part (1-e) when G=200), two LM curves (from the part (2-i) with the price level if G=150 and the part (2-l) with the new price level) and one FE curve with the full employment level.

Describe the concepts of primary and secondary deviance. Next, explain how secondary deviance involves resocialization into a deviant role. Do you agree with this theory?

Some suggest real-life applications of macroeconomics:
"Covid-19's impact on your economy, how do policy makers intervene in the market
Due to macroeconomic fluctuations and so on. Of course, you can bring your own ideas

To what extend do you think law of demand depends on the law of diminishing marginal utility? If marginal utility was increasing when quantity of a good consumed increase, would there any change in consumer behaviour?

Identify and describe sources of labels. Next, discuss how labels from the juvenile justice system can be devastating on our youth.

Question 1 :

1. What effect does the entry of new firms have on the economic profits of existing firms in a monopolistically competitive market? Elaborate your answer with appropriate examples.
2. Why a firm remains in business even by earning zero economic profit? Elaborate your answer.

Question 4: Why some governments resort to price ceiling and price floor for some goods and services? Describe three most important disadvantages of price ceiling and price floor? In what conditions do you think that price ceiling and price floor may contribute to welfare of people?

Question 3:

What are the determinants of demand for labor and supply of labor? How the equilibrium wage rate is determined in labor market? Why a janitor gets lower wage than a heart surgeon? Explain