What is the efficiency of the most efficient combustion engine?
Explain why it is so inefficient. How does the efficiency of an
electric motor compare with an internal combustion engine? If this
were the selling feature for an electric car, explain why this is
terribly misleading.
Both markets and governments are inefficient. Explain why
economists are concerned with the inefficiency and offer a
compelling economic argument as to how to minimize inefficiency
Why do governments and central banks intervene in the foreign
exchange markets? If markets are efficient, why not let them
determine the value of a currency?
Reason(s) sales tax is efficient or inefficient (focus:
comparing deadweight loss, the efficient outcome of the competitive
model, and loss of production to society).
Monopolistic competitive markets are said to be less
economically efficient than perfectly competitive markets. Explain
why this is true. Diagram the equivalent long-run equilibrium
points for each to demonstrate your answer.