Microeconomics (7th Edition)
Microeconomics (7th Edition)
7th Edition
ISBN: 9780134737508
Author: R. Glenn Hubbard, Anthony Patrick O'Brien
Publisher: PEARSON
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Chapter 8, Problem 8.2.8PA

Sub part (a):

To determine

The relationship between bond ratings and interest rate.

Sub part (b):

To determine

The relationship between bond ratings and interest rate.

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Consider the following demand and supply functions:Qd= 10-PQs=1+2pFind the equilibrium price and quantity, Producers and Consumer surpluses.Consider the tax size 3. What would be new CS and PS, TS and DL? (hint – it would be easierif you draw them)
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