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How would you expect this improved information to affect the quantity of high-quality emeralds sold on the website?
To what sorts of customers would an insurance company offer a policy with a high copay? What about a high premium with a lower copay?
How do you think the problem of moral hazard might have affected the safety of sports such as football and boxing when safety regulations started requiring.
Explain how Seattle's 20-cents charge will change the use of plastic bags. Explain why a complete ban on plastic bags would be inefficient.
Why would Toronto streets become less congested? If the new charges cut commute times, would the Toronto road system be more efficient?
Some car dealers offer used cars for sale with warranties and some offer them without warranties. Describe the equilibrium in the market for used cars.
Describe the asymmetric information problem in the market for health-care services and explain how the problem is dealt with.
Pam is low-risk careful driver and Fran is high-risk aggressive driver. What might an auto-insurance company do to get Pam and Fran to reveal their driver type?
Describe the market in terms of its anticipated growth, revenue opportunities, past performance, etc.
Briefly explain the demand curve for Eskom as well as the implication of the curve with regards to market power.
If the United States allows a greater quantity of highly skilled workers, what will be the impact on the average wages of highly skilled employees?
What factors can explain the relatively small effect of low-skilled immigration on the wages of low-skilled workers?
How would you expect immigration by primarily low-skill workers to affect American low-skilled workers?
What policies, when used together with antidiscrimination laws, might help to reduce the earnings gap between men and women or between white and black workers?
What is the outcome if they meet at Tom's home? What is the outcome if they meet at Larry's home?
What are some of the ways that someone looking for a loan might reassure a bank that is faced with imperfect information about whether the loan will be repaid?
What are some of the ways a seller of goods might reassure a possible buyer who is faced with imperfect information?
Why is there asymmetric information in the labor market? What signals can an employer look for that might indicate traits they are seeking in a new employee?
Who will pay most of the tax increase: the buyer or the seller? Will the tax increase halve the quantity of sunscreen and sunglasses bought?
Find wahat the share of total income received by each quintile of this income distribution. Do the top and bottom quintiles in this distribution have a greater.
Why do you think municipalities tax things that travelers buy as a way of raising the revenue to build local venues?
What assumptions about the elasticities of demand and supply for high-wage labor and capital might be consistent with this assessment?
What is the price that buyers pay? How is the tax split between the buyer and the seller? What is the government's tax revenue?
Why would you expect the presence of labor unions to lead to higher or lower pay for worker-members?