28) If, for a given percentage decrease in price, quantity supplied decreases by a proportionately smaller percentage, then supply is

Extra Credit: 41) Studies have shown that drinking one glass of red wine per day may help prevent heart disease. Assume this is true, and favorable weather has increased the grape harvest of California vineyards. In the market for red wine, these two developments would

27) Suppose Pump-U-Up lowers the price of its gym membership by 10 percent and as a result, Sweat-It-Out experienced a 16 percent decline in its gym membership. What is the value of the cross-price elasticity between the two gym memberships?

34) Suppose that in Germany, the opportunity cost of producing a gallon of beer is 5 gallons of wine. In Italy, the opportunity cost of producing a gallon of beer is 3 gallons of wine. What is the opportunity cost of producing a gallon of wine for Germany? What is the opportunity cost of producing a gallon of wine for Italy? Which country has a comparative advantage in the production of beer? Which country has a comparative advantage in the production of wine?

Coal burning utilities release sulfur dioxide and nitric acid which react with water to produce acid rain. Acid rain damages trees and crops and kills fish. Because the utilities do not bear the cost of the acid rain, they overproduce the quantity of electricity. 23) S1 represents the supply curve that reflects the marginal private cost of production and S2 represents the supply curve that reflects the marginal social cost of production. One way to internalize the external cost generated by utilities is to impose a Pigovian tax on the production of electricity. What is the size of the Pigovian tax that will internalize the cost of the externality?

40) After getting an A on your economics exam, you decide to go to your favorite Mexican restaurant to celebrate. You are having trouble deciding whether to order the chipotle chicken chimichanga or the cilantro seafood enchiladas. Use the rule of equal marginal utility per dollar to determine which one to purchase: (a) the chimichanga for $8 which gives you 120 units of utility, or (b) the enchiladas for $15 which gives you 195 units of utility? Assume your budget is large enough to purchase either item.

38) How does a public good differ from a quasi-public good? In your answer give an example of each type of good.

El promedio de compras de un turista es de mil once dólares al día.

A los turistas les gusta comprar ropa masculina y femenina, y artículos de cuero.

Argentina recibe más de doscientos visitantes por mes.