1. Given the following model: Y = C + lo + Go C = a+ b(Y - T) T = d+ tY (0) How many endogenous variables are there? (b) Find Y, T', and C. (a > 0, 0 0, 0

Please answer questions 2, 3, and 4. 2. Many states are now imposing severance taxes on resources being extracted within their borders. How is the consumption path of depletable resources with severance taxes imposed compared to the case without taxes? Assuming an increasing marginal extraction cost of depletable resources over time. A. For the same time period, consumption for depletable resource decreases due to the imposition of severance taxes. B. For the same time period, consumption for depletable resource increases due to the imposition of severance taxes. C. For the same time period, consumption for depletable resource stays the same regardless to the imposition of severance taxes. 3. Suppose there exists a renewable energy substitute for depletable resources with an increasing marginal extraction cost. How would per-unit subsidy on renewable energy change price path for renewable energy? A. Price for renewable energy with subsidy is higher than the case without subsidy. B.…

Question: Indicate whether the following statemnts are true or false:- a) If the firm increases the volume of used resources by 30%, and the volume of production thus increases by 20%, then there is a positive effect of the production scale. b) Average fixed costs decrease as production increases.  c) The economic profit usually exceeds the accounting profit. Thanks!

The options are: a) raise / reduce / maintain b) increase / reduce / maintain c) more / less / the same amount of d) more / less / just as e) shift to the right / shift to the left / no shift at all f) shift to the right / shift to the left / no shift at all g) an appreciation / a depreciation / no change in the value