Suppose that producing a bicycle generates no environmental degradation, while buying and riding a bicycle (consumption) help reduce greenhouse gas emissions. In contrast, producing, buying and driving a car do generate greenhouse gas emissions. Based on this information, for each economic activity, first discuss whether there is externality and what type of externality it is and explain why(e.g., production/consumption of cars/bicycles leads to positive/negative/no production/consumption externality because … … …). When explaining your reasoning, make sure you relate your specific answer to the definition of externalities. Then, for each economic activity given above (e.g., production/consumption of cars/bicycles), compare private costs and benefits with the true cost and benefit to society.

What is the main characteristic of a monopolistically competitive market different from a perfectly competitive market? Discuss the important implications of this difference for a monopolistically competitive firm’s demand (i.e., in regards to its price elasticity or price-cost margin, and the number of consumers), and for its short-run and long-run profits.

what is the tools of risk management for insurance companies ?

What is the main characteristic of a monopolistically competitive market different from a perfectly competitive market? Discuss the important implications of this difference for a monopolistically competitive firm’s demand (i.e., in regards to its price elasticity or price-cost margin, and the number of consumers), and for its short-run and long-run profits.?

Even when there are no externalities in a market, a government may still tax a good such as petrol to earn revenue. Describe what happens to each of the surpluses (including total surplus) in the market for petrol when this occurs, and why.

What elasticity is the market for petrol likely to exhibit? Explain how elasticity influences the impact of the price change on total surplus.

Q4-Part B
Jenny Sun, a new partner with the regional CPA firm of Lind &Link, was recently appointed to the board of directors of
a local civic organization. The chairman of the board of the civic organization is Musk Train, who is also the owner of a
real estate development firm, Trendy Corporation.
Sun was quite excited when Train indicated that his corporation needed an audit and he wished to discuss the matter
with her. During the discussion, Sun was told that Trendy Corporation needed the audit to obtain a substantial amount of
additional financing to acquire another company. Presently, Trendy Corporation is successful, profitable, and committed
to growth. The audit fee for the engagement should be substantial.
Because Trendy Corporation appeared to be a good client prospect, Sun tentatively indicated that Lind &Link wanted to
do the work. Sun then mentioned that Lind &Link’s quality control policies require an investigation of new clients and
approval by the managing partner, Lee Tower.
Sun obtained the authorization of Train to make the necessary inquiries for the new client investigation. Train was found
to be a highly respected member of the community. Also, Trendy Corporation was highly regarded by its banker and its
attorney, and the Dun & Bradstreet report on the corporation reflected nothing negative.
As a final part of the investigation process, Sun contacted Train’s former tax accountant, Bill Turner. Sun was surprised
to discover that Turner did not share the others’ high opinion of Train. Turner related that on an IRS audit 10 years ago,
Train was questioned about the details of a large capital loss reported on the sale of a tract of land to a trust. Train told
the IRS agent that he had lost all the supporting documentation for the transaction, and that he had no way of finding
out the names of the principals of the trust. A search by an IRS auditor revealed that the land was recorded in the name
of Train’s married daughter and that Train himself was listed as the trustee. The IRS disallowed the loss and Train was
assessed a civil fraud penalty. Sun was concerned about these findings, but eventually concluded that Train had
probably matured to a point where he would not engage in such activities.
Required:
a) Present arguments supporting a decision to accept Trendy Corporation as an audit client.
b) Present arguments supporting a decision not to accept Trendy Corporation as an audit client.
c)Assuming that you are Lee Tower, set forth your decision regarding acceptance of the client, identifying those
arguments from part (a) or part (b) that you found most persuasive.

A perfectly competitive firm currently producing 100 units of output has ATC= $6 and AFC = $4. The market price is $3 and is equal to MC. Is the firm currently operating in the short-run or the long-run? Explain why. Discuss if the firm is currently maximizing profits (or equivalently minimizing losses)? Explain if shutting down the business in this current situation would be beneficial for the firm. If firms break even in the long run and earn zero economic profits, would they stay in the business? Explain why.?

Using economic concepts learned in class, economically evaluate a maximum price policy being implemented in Christchurch on the market for residential rental properties. As part of your answer, explain who wins and who loses from the maximum price policy AND WHY. Also explain whether you think the policy should be implemented or not and why/why not.?

Identify the links and argue the economic effects of COVID-19 to Fiji. Provide examples to support your arguments

this is my essay

Capitalism is one of the most universally loved and hated system. I agree with the three points the author pointed out to show the good facts about free-market capitalism. There was always a big conflict between capitalism and socialism. Many people think that capitalism is the most important factor for economic growth and development, and many people think that capitalism is the cause of social suffering. the confrontation between capitalism and socialism seemed to be a zero-sum conflict in which one side made a profit at the expense of the other Over time, many disputes and conflict suppression brought about Anarcho capitalism, benevolent capitalism, Clony capitalism and free-market capitalism. My conclusion: The best way to deal with the conflict between capitalism and socialism was given by Mohandas Column Shandhi about 100 years ago.he described in Swaraj the underlying theory behind the book that first develops the poorest part of the country with education and enough employment and then from the poor to the poor But most of the theories of capitalism are tested first on capital, resulting in social imbalances. poor people tend to move to the capital for a better future and engage in exploitation.

this essay questioned by professor saying that "But most of the theories of capitalism are tested first on capital, resulting in social imbalances. poor people tend to move to the capital for a better future and engage in exploitation." Please explain.

Suggest ways of promoting Fiji made goods to Australia and New Zealand. In your view, what are the barriers to trade and how can Fiji deal with issues of trade competitiveness. Cite examples of policies that would promote trade from Fiji.