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can I get some help with these please... short answers will do 1) How does subjective value make gains from trade possible? 2) Think back

can I get some help with these please... short answers will do

1) How does subjective value make "gains from trade" possible?

2) Think back to August 6, 1945. The United States has just dropped an atomic weapon on the city of Hiroshima killing tens of thousands of Japanese and devastating the infrastructure. Some economists at the time might have concluded that there would be a silver lining in the destruction, as economic prosperity would result. Evaluate the logic of this claim in a few sentences.

3) Most introductory economics textbooks have a section on "market failure." It is here that students learn that markets may fail to achieve their potential - leaving people worse off than they theoretically could be. The existent of market failure is often taken as an excuse for government intervention to do whatever markets fail to do. In just a couple of sentences, explain why economists (and others, particularly politicians) must accept the possibility of "government failure" as well? That is, tell me why government solutions to perceived market "failures" may themselves fail to achieve their own stated goals? The U.S. Drug war is an apt example of a discrepancy between a stated political policy goal and the actual attainment of that goal. 4) How might price controls on gasoline lead to human fatalities in an area where there is an oncoming hurricane?

5) The logic of politics often leads to very different market outcomes than if the logic of economics were being used to allocate scarce resources. In our discussions, we covered a concept called "concentrated benefits, dispersed costs" that might help one understand this disparity. Briefly explain what the concept means and then give an example of applying it to say, farm price supports (a type of price control we covered, but other examples may be used).

6) Some economists argue that minimum wage policy does not always lead to the unemployment consequences that are so often predicted. For the sake of argument, grant that this is true. That is, due to the passage of say, a $15 minimum wage in Virginia, no one loses his or her job. Does this prove that minimum wage policy can improve the economic circumstances of unskilled laborers? Why or why not?

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