1.SUCCESSI E FALLIMENTI DEL MERCATO (CAP. 6-10) PE e EQUITA’ EFFICIENZA STATICA E DINAMICA

Point (Th di Coase): K è formato da un mix di istituzioni → teoria del ‘second best’ Es. innovazione e brevetti (*CAP. 2) trade-off efficienza statica e dinamica (*Schumpeter → distruzione creatrice) ‘tragedia degli anti-commons’ (1995) ↓

2.BENI PUBBLICI (nn escludibilità → free-riding) beni pubblici puri →nn rivalità (MC=0) beni comuni → rivalità (*CAP. 4)

BENI PUBBLICI PURI → STATO MINIMO (difesa; ordine pubblico: polizia e tribunali) + scuola, sanità, acqua? BENI COMUNI → COMUNITA’ (PREF. E NORME SOCIALI) * PROPRIETA’ INTELLETTUALE → TRAGEDIA DEGLI ANTI-COMMONS (PESCA vs CONOSCENZA)

3. BENI POSIZIONALI (*Veblen, status, prestigio, potere, etc.) Beni privati (+, 0) Beni pubblici (+, +) Mali pubblici (-, -) Beni posizionali (+, -)

Scarsità ‘sociale’…eccesso di competizione (es. Corsa agli armamenti, Coda del pavone) Poche soluzioni....fenomeni spiegati: Si lavora di più dove c’è più diseguaglianza (USA) L’aumento del PIL nn porta necessariamente a > felicità (USA)

4. FALLIMENTI DEL MERCATO E ‘SOLUZIONI’ (TASSONOMIA)

*IMPOSTAZIONE TRADIZIONALE: prima mercati perfetti (EEG) e poi i fallimenti come casi particolari IMPOSTAZIONE DEL LIBRO: prima i fallimenti poi la concorrenza perfetta (nel mercato dei beni) come caso particolare CAP. 11: mkt del credito, il prezzo è i → fallimenti, contratti incompleti, asimmetria informativa (MH e AS)

Courtesy of US Coastguard UNIT 10. MARKETS, CONTRACTS AND INFORMATION

T8.1 Price-taking firms Select one answer a.The demand curve faced by the firm is downward-sloping. b.The firm chooses the price that equals its marginal cost. c.The firm chooses its output where the marginal cost equals the price. d.A price-taking firm cannot be profit-maximising. You are given that the market demand curve of the good in concern is downward-sloping. Based on this information, which of the following statements is correct regarding a price-taking firm? Section 8.3

T8.2 Consumer and producer surplus Select one answer a.A less elastic supply curve will lead to a larger producer surplus. b.A more elastic demand curve will lead to a smaller producer surplus. c.A less elastic demand curve will lead to a smaller consumer surplus. d.Consumer and producer surpluses do not depend on the elasticities of the demand and supply curves. The following diagram shows the consumer and producer surpluses in the market for bread. Consider now changes in the elasticities of the demand and supply curves. Assuming that the market equilibrium output and price are unchanged, which of the following statements is correct? Section 8.5

T9.1 Friedrich Hayek Select one answer a.Prices convey the scarcity of a good under a centrally planned economy. b.Perfect competition can be attained without activities such as advertising, undercutting and improving ("differentiating") the goods or services produced. c.The advantage of capitalism is that it provides the right information to the right people. d.A single central authority can collate and make use of the information available in the economy better than the market. Which of the following statements is correct? According to Friedrich Hayek: Section 9.0

T9.2 Reaching a new equilibrium Select one answer a.After the demand fall, the market initially moves from A to E, before settling to the new equilibrium at F. b.At E, the sellers are on the short side of the market. c.At E, lowering the price to $7 results in a Nash equilibrium for the buyers and sellers. d.In the adjustment process from E to the new market equilibrium F, the sellers behave as price-makers while the buyers remain price- takers. The following diagram depicts the competitive hats market before and after a demand shift. Based on this information, which of the following statements is correct? Section 9.1

T10.1 Negative production external effects Select one answer a.The efficient level of output is 120 where the factory is profit-maximising. b.The efficient level of output is 0 where there is zero marginal external cost to the nurses. c.At Q = 120 both the factory and the nurses would benefit from the nurses paying a fee less than 120 to the factory to reduce output. d.At Q = 80 both the factory and the nurses would benefit from the factory paying a fee less than 80 to the nurses to increase output. A factory is situated next to a dormitory for nurses who work night shifts. The factory produces 120 units of humanoid robots a day. The production process is rather noisy, and the nurses often complain that their sleep is disturbed. The following graph depicts the MPC and MSC of the robot factory production. The robot market is competitive and the market price is £340. Based on this information, which of the following statements is correct? Section 10.1

T10.2 Bargaining and negative external effects Select all correct answers a.The Pareto efficient output is 80. b.The nurses’ minimum acceptable payment from the factory to produce the efficient outcome is £4,000. c.The maximum that the factory is willing to pay to increase the output to the efficient level is £6,400. d.The net social gain from attaining the efficient output level is £9,600. The following graph depicts the MPC and MSC of the robot factory production. The robot market is competitive and the market price is £340. The local authority has now passed a law that ensures that the nurses have the right to undisturbed sleep (meaning zero production). Based on this information, which of the following statements are correct? Section 10.2

T10.3 Enforced compensation Select one answer a.The factory’s marginal private cost now equals the marginal social cost. b.The total compensation paid will be £6,400. c.The nurses are worse off than they would be under the Pigouvian tax. d.The factory’s profit would be the same as under the Pigouvian tax. Consider again the factory and the nurses. Instead of the Pigouvian tax, the government is now considering implementing an enforced compensation from the factory to the nurses for the costs imposed. Based on this information, which of the following statements is correct? Section 10.3