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QUESTION 1 25 points Save Answer Select the correct word(s) from the drop down menu to finish the following sentences: Central Park in New York City is an open space for any visitor. Therefore, Central Park is . Because Central Park is so big, many people can walk around and enjoy the scenery. This benefit of the park is . Considering those two characteristics, Central park is a QUESTION 2 25 points Save Answer Select the correct word(s) from the drop down menu to finish the following sentences: Chocolate cookies are sold at supermarkets, and sellers only provide cookies to the consumers who purchase them. Therefore, cookies are . If I eat a cookie, it disappears, and the same cookie cannot be consumed by another person. Thus, cookies are C. Considering those two characteristics of cookies, cookies are QUESTION 3 25 points Save Answer Select the correct word(s) from the drop down menu to finish the following sentences: Fish in the ocean can be caught by anyone, and it is difficult to prevent people from fishing, in this sense, fish in the oceans are C. If I catch a fish, that means there is one less fish in the sea for someone else to catch. Therefore, fish are . Considering those two characteristics, fish in the ocean are QUESTION 4 25 points Save Answer Select the correct word(s) from the drop down menu to finish the following sentences: Movies in the movie theater can only be watched by people who purchase tickets. Therefore, movies in movie theatres If I buy a movie ticket and the theatre is not full, other people in the movie theater can watch the movie at the same time. In this sense, the movies in movie theatres are C. Considering those two characteristics, movies in the movie theaters are5. (20 pts) Suppose that a society consists of three groups (A, B, C) choosing among four alternatives produce the consequences x, y, z and w. The utilities in the four cases are given as follows: Individual Utilities: B MU m ) What is the alternative that wins with the majority voting? b) What is the alternative that wins with the Borda method? c) What is the alternative that maximizes an utilitarian social welfare function? 1) What is the alternative that maximizes Rawlsian function?Potato is produced according to the function: q = 10kol-a where q is the quantity produced, k represents land and ( represents the number of workers. The farmer is a price taker with respect to all prices. Assume o = 0.5. (a) Write the general form for the farmer's cost minimization problem. (b) Derive the conditional input demand functions for " and I' given this particular production function. (c) Derive the Total Cost Function. (d) Suppose wage of workers=9 and rent for land=4 and the farmer wants to produce q = 100 units of output, Find the optimal land and labor demand. (e) Derive the Short-Run Total Cost Function. (f) Suppose the firm wants to increase the output level to 120. What is the labor and land demand in the short run? Show that short-run total cost is higher than long run total cost in that case.1. The following market demand and firm cost conditions describe a perfectly competitive industry p = 1000 - 0.001Q TO = 20q - 0.2q2 + 0.001q where TC is total cost. All firms are identical. Determine the long-run equilibrium price (p), market output (Q), firm output (q) and number of (identical) firms. (Hint: marginal cost is MC = 20 - 0.4g + 0.003q?) (10 marks) 2. The City of Calgary has a more or less free market in taxi service. Any respectable firm can provide taxi service as long as the drivers and cabs satisfy certain safety standards. Let us suppose that there is a constant marginal cost and average cost per trip of a taxi ride equal to $5 and that the average taxi has a capacity of 20 trips per day. Let the market demand function for taxi rides be given by Q = D(p) = 1100 - 20p, where demand is measured as rides per day and price is measured in dollars. Assume that the industry is perfectly competitive (a) What is the competitive equilibrium price per ride? What is the equilibrium number of rides per day? What is the minimum number of taxi cabs in equilibrium? (5 marks) (b) During the Calgary Stampede, the influx of tourists raises the demand for taxi rides to D(p) = 1500 - 20p. Find the following magnitudes, based on the assumption that for these 10 days in July, the number of taxicabs is fixed and equal to the minimum number found in part (a): equilibrium number of rides per day and profit per cab per day. (4 marks) (c) Now suppose that the change in demand for taxicabs in part (b) is permanent. Find the new equilibrium price, equilibrium number of rides per day, and profit per cab per day. How many taxi cabs will be operating in equilibrium? How does the new equilibrium compare to the equilibrium found in part (b). Explain why the answer found here in part (c) differs from the answer found in part (b). (4 marks) 3. Suppose that there are four identical firms in the market, each having a marginal cost given by: MC(q) = where q is the output of an individual firm. The market inverse demand is given by: P = 200 - .5Q where Q is the total amount sold in the market. (a) What is the supply curve of the industry when there is competition between the four firms