答:Pigouvian Taxes and Pigouvian Subsidy: A tax designed to equal the marginal external cost of production of a commodity. It is added to the price, which measures only marginal private costs. The price plus tax now measures marginal social cost, thus internalizing the orgianl external cost. ...
Discuss the impact of removing the subsidy and designation on economy? Explain how the concept of cost production ties into the recent growth in US oil even with the cost of drillers rising. Explain how government use of subsidies can be counterproductive. ...
Explain production cost and scale. Describe cost of production. Explain each of the four assumptions of the production possibilities model. Define a production possibilities curve (PPC) and explain the factors that can shift the PPC outwards. Explain at what point in the production proces...
To ignore the cost of doing business and how it changes over time too narrowly defines "fundamentals." Statistical analyses that implicitly treat cost as non-fundamental will struggle to avoid circular logic and false conclusions about causality. Data on production costs are abundant and transparent....
Transaction Cost and the Theory of Multinational Enterprise. In New Theories of the Multinational Enterprise, Rugman A. Ed. St Martins Press: New-York. Google Scholar Coase R. 1937. The Nature of the Firm. Economica. 4: 386–405. Article Google Scholar Crouch C. and Streeck W. Eds. ...
Then, the costs associated with foreign production are given by: $$ {C}_f={w}_f\;{L}_f+{r}_f\;{K}_f $$ (14) where w and r are real wage and real user cost of capital respectively. Assuming the foreign plant’s costs are minimized, the Lagrangian function is defined as: ...
Explain complex systems using visuals and simple terms. Whether you're preparing for a System Design Interview or you simply want to understand how systems work beneath the surface, we hope this repository will help you achieve that. Table of Contents ...
Conversely, Hayes (2017) claims that cryptocurrency is better thought of as a virtual commodity than virtual money and finds that the main determinant of its market price is its marginal cost of production, which in turn depends on electricity prices, mining efficiency, and mining difficulty. Liu...
1.What is the production possibilities curve? Explain its shape. Under what circumstances might the PPF be a straight line?2.How does the production possibilities frontier reflect the principle of increasing opportunity cost?3.What is the production possibilities curve? Explain the assumptions on ...
and reproductive cost of male and female catkins. As we expected, more carbohydrates are allocated to individual male flowers ofS. paraplesiathan to female flowers in order to meet their greater biomass and higher energy consumption requirements before pollination. Therefore, our results demonstrate ...