All Matches

Solution Library

Expert Answer

Textbooks

Search Textbook questions, tutors and Books

Oops, something went wrong!

Change your search query and then try again

Result Not Found

Books FREE
Tutors
Study Help
Ask a Question

Search
Sign In
Register

study help
business
economics

Questions and Answers of Economics

Consider Kylie, who has been awarded academic scholarships covering all tuition and fees at three different colleges. College #1 is a two-year public college. College #2 is a four-year public
Redraw Figure, but this time identifies a different set of points along the frontier. Starting at point F (5,000 tanks, zero production of wheat), have each point you select show equal increments in
How would a technological innovation in lifesaving€”say, the discovery of a cure for cancer€”affect the PPF inFigure?
Suppose the Internet enables more production of other goods and helps to save lives (for simplicity, assume proportional increases). Show how the PPF in Figure would beaffected.
Suppose that one day, Gilligan (the castaway) eats a magical island plant that turns him into an expert at everything. In particular, it now takes him just half an hour to pick a quart of berries,
Suppose that two different castaways, Mr. and Mrs. Howell, end up on a different island. Mr. Howell can pick 1 pineapple per hour, or 1 coconut. Mrs. Howell can pick 2 pineapples per hour, but it
You and a friend have decided to work jointly on a course project. Frankly, your friend is a less-than ideal partner. His skills as a researcher are such that he can review and outline only two
Suppose that an economy’s PPF is a straight line, rather than a bowed out, concave curve. What would this say about the nature of opportunity cost as production is shifted from one good to the
Go back to Table in the chapter, which is based on the hourâ€™s requirements in Table. Suppose that when trade opens up between the U.S. and China, the U.S. increases its production of soybeans
One might think that performing a mammogram once each year€”as opposed to once every three years€”would triple the cost per life saved. But according to Table, performing the exam
Consider the following statement: “In late 2008, as at other times in history, oil prices came down at the same time as the quantity of oil produced fell. Therefore, one way for us to bring down
In the late 1990s and through 2000, the British public became increasingly concerned about “Mad Cow Disease,” which could be deadly to humans if they ate beef from these cattle. Fearing the
Discuss, and illustrate with a graph, how each of the following events will affect the market for coffee:a. A blight on coffee plants kills off much of the Brazilian crop.b. The price of tea
The following table gives hypothetical data for the quantity of two-bedroom rental apartments demanded and supplied in Peoria, Illinois:a. Graph the demand and supply curves. b. Find the equilibrium
The following table gives hypothetical data for the quantity of alarm clocks demanded and supplied per month.a. Graph the demand and supply curves.b. Find the equilibrium price and quantity.c.
The table at the end of this problem gives hypothetical data for the quantity of electric scooters demanded and supplied per month.a. Graph the demand and supply curves.b. Find the equilibrium price
The following table gives hypothetical data for the quantity of gasoline demanded and supplied in Los Angeles per month.a. Graph the demand and supply curves.b. Find the equilibrium price and
How would each of the following affect the market for blue jeans in the United States? Illustrate each answer with a supply and demand diagram.a. The price of denim cloth increases.b. An economic
Indicate which curve shifted—and in which direction—for each of the following. Assume that only one curve shifts. a. The price of furniture rises as the quantity bought and sold falls.b.
Consider the following forecast: “Next month, we predict that the demand for oranges will continue to increase, which will tend to raise the price of oranges. However, the higher price will
A couple of months after Hurricane Katrina, an article in The New York Times contained the following passage: “Gasoline prices—the national average is now $2.15, according to the Energy
Draw supply and demand diagrams for market A for each of the following. Then use your diagrams to illustrate the impact of the following events. In each case, determine what happens to price and
The Using the Theory section of this chapter points out that when we observe an increase in both price and quantity, we know that the demand curve must have shifted rightward. However, we cannot rule
In the second half of 2008, as the equilibrium price and quantity of oil both decreased, OPEC succeeded in reducing oil production by its members, but could not prevent the dramatic drop in price.
Suppose that demand is given by the equation QD = 500 – 50P, where QD is quantity demanded, and P is the price of the good. Supply is described by the equation QS = 50+ 25P, where QS is quantity
While crime rates fell across the country over the past few decades, they fell especially rapidly in Manhattan. At the same time, there were some neighborhoods in the New York metropolitan area in
An analyst observes the following equilibrium price quantity combinations in the market for restaurant meals in a city over a four-year period:She concludes that the market defies the law of demand.
The market for rice has the following supply and demand schedules:To support rice producers, the government imposes a price floor of $50 per ton.a. What quantity will be traded in the market? Why?b.
In Figure, a price ceiling for maple syrup caused a shortage, which led to a black market price ($4) higher than the initial equilibrium price ($3). Suppose that the price ceiling remains in place
In the chapter, you learned that one way the government enforces agricultural price floors is to buy up the excess supply itself. If the government wanted to follow a similar kind of policy to
In Figure, prove that the incidence of a $0.60 tax imposed on sellers could not be split equally between buyers and sellers, given the supply and demand curves as drawn.
Figure shows the impact of a $10,000 subsidy on the market for college education when the subsidy is paid to college students. Starting with the same initial supply and demand curves, show what
State whether each of the following is a stock variable or a flow variable, and explain your answer briefly.a. Total farm acreage in the U.S.b. Total spending on food in Chinac. The total value of
Suppose you buy a home for $200,000 with a $20,000 down payment and finance the rest with a home mortgage.a. Suppose that if you default on your mortgage loan, you lose the home, but nothing else. By
Every year, the housing market in Monotone, Arizona, has the same experience: The demand curve for housing shifts rightward by 500 homes, 500 new homes are built, and the price of the average home
Every year in Houseville, California, builders construct 2,000 new homes—the most the city council will allow them to build. And every year, the demand curve for housing shifts rightward by 2,000
Suppose you buy a home for $400,000 with a $100,000 down payment and finance the rest with a home mortgage.a. Immediately after purchasing your home, before any change in price, what is the value of
Suppose, as in the previous problem, you buy a home for $400,000 with a down payment of $100,000 and take out a mortgage for the remainder. Over the next three years, the price of the home rises to
Suppose, as in the previous problem, you buy a home for $400,000 with a down payment of $100,000 and take out a mortgage for the remainder. Over the next three years, the price of the home rises to
Could any combination of home price, mortgage, or further borrowing on a home result in a simple leverage ratio of 1/2? If yes, provide an example. If no, briefly explain why.
Using Figure, calculate the price elasticity of demand when gasoline rises from $2 per gallon to $3 per gallon over each of the following time horizons:a. 1 month (from point A to point B)b. 6 months
Table shows a short-run elasticity of demand for cigarettes. The same study suggested that the long-run elasticity of demand for cigarettes ranges from 1.0 to 2.5. Which is larger—short-run or
Some studies suggest that “tooth extraction” is an inferior good. Which measure of elasticity (price elasticity of demand, price-elasticity of supply, income elasticity, or cross-price
In Table, the price elasticity of demand for Kellogg’s Corn Flakes includes a wide range of estimates. It turns out one end of the range is observed for low income households, while the other is
The demand for bottled water in a small town is as follows:P (per bottle) QD (bottles per week)$1.00 ............500$1.50 .............400$2.00 .............300$2.50 .............200$3.00
Sketch a demand curve that is unit elastic for a price change between $9 and $11. Assume that the quantity demanded is 110 when price is $9. You’ll have to determine the quantity demanded when
In the chapter, we calculated the likely long-run change in revenue if New York City were to raise mass transit fares from $2.00 to $2.50. Use the same procedure to calculate the short-run impact of
In the chapter, using an estimate of the short-run elasticity of demand for oil (0.06), we found that a crisis that eliminated half of Persian Gulf oil supplies would cause the world price to rise
The demand for rosebushes in a market is as follows:Price (per rosebush) Quantity Demanded (rosebushes per week)$10 ..................................
Refer to Table in this chapter and answer the following questions:a. Which is more elastically demanded: cigarettes or pork? Does this make sense to you? Explain briefly.b. If the price of milk rises
Once again, refer to Table in this chapter and answer the following questions:a. Is the demand for recreation more or less elastic than the demand for clothing?b. If 10,000 two-liter bottles of Pepsi
Three Guys Named Al, a moving company, is contemplating a price hike. Currently, they charge $30 per hour, but Al thinks they could get $40. Al disagrees, saying it will hurt the business. Al, the
Parvez, a pharmacology student, has allocated $120 per month to spend on paperback novels and used CDs. Novels cost $8 each; CDs cost $6 each. Draw his budget line.a. Draw and label a second budget
Now go back to the original assumptions of problem 1 (novels cost $8, CDs cost $6, and income is $120). Suppose that Parvez is spending $120 monthly on paperback novels and used CDs. For novels,
Anita consumes both pizza and Pepsi. The following tables show the amount of utility she obtains from different amounts of these two goods:Suppose Pepsi costs $0.50 per can, pizza costs $1 per slice,
Three people have the following individual demand schedules for Count Chocula cereal that show how many boxes each would purchase monthly at different prices:a. What is the market demand schedule for
Suppose that 1,000 people in a market each have the same monthly demand curve for bottled water, given by the equation QD = 100 – 25P, where P is the price for a 12-ounce bottle in dollars.a. How
What would happen to the market demand curve for polyester suits, an inferior good, if consumers’ incomes rose?
Larsen E. Pulp, head of Pulp Fiction Publishing Co., just got some bad news: The price of paper, the company’s most important input, has increased.a. On a supply/demand diagram, show what will
“If a good is inferior, a rise in its price will cause people to buy more of it, thus violating the law of demand.” True or false? Explain.
Which of the following descriptions of consumer behavior violates the assumption of rational preferences? Explain briefly.a. Joseph is confused: He doesn’t know whether he’d prefer to take a job
Howard spends all of his income on magazines and novels. Illustrate each of the following situations on a graph, with the quantity of magazines on the vertical axis and the quantity of novels on the
In Figure, we assumed that when Maxs income rose, his marginal utility values for any given number of movies or concerts remained the same. But now suppose that when Maxs income rises, and he can
In Figure, we assumed that when Maxs income rose, his marginal utility values for any given number of movies or concerts remained the same. But now suppose that when Maxs income rises, having the
a. Draw a budget line for Cameron, who has a monthly income of $100. Assume that he buys steak and potatoes, and that steak costs $10 per pound and potatoes cost $2 per pound. Add an indifference
a. Draw a budget line for Rafaella, who has a weekly income of $30. Assume that she buys chicken and eggs, and that chicken costs $5 per pound while eggs cost $1 each. Add an indifference curve for
a. Draw a budget line for Lynne, who has a weekly income of $225. Assume that she buys food and clothes, and that food costs $15 per bag while clothes cost $25 per item. Add an indifference curve for
The Smiths are a low-income family with $10,000 available annually to spend on food and shelter. Food costs $2 per unit, and shelter costs $1 per square foot per year. The Smiths are currently
When an economy is experiencing inflation, the prices of most goods and services are rising but at different rates. Imagine a simpler inflationary situation in which all prices, and all wages and
[Uses the Indifference Curve Approach] With the quantity of popcorn on the vertical axis and the quantity of ice cream on the horizontal axis, draw indifference maps to illustrate each of the
[Uses the Indifference Curve Approach] The appendix to this chapter states that when a consumer is buying the optimal combination of two goods x and y, then MRSy,x = Px/ Py. Draw a graph, with an
The following table shows total output (in tax returns completed per day) of the accounting firm of Hoodwink and Finagle:Number of Number of ReturnsAccountants per Day0 .......... 01 .......... 52
In mid-2009, the Obama administration announced it would cancel orders for a new fleet of presidential helicopters. About $3 billion had already been spent on developing the helicopters, which had
Down On Our Luck Studios has spent $100 million producing an awful film, A Depressing Story about a Miserable Person. If the studio releases the film, the most cost-effective marketing plan would
The following table gives the short-run and long-run total costs for various levels of output of Consolidated National Acme, Inc.:a. Which column, TC1 or TC2, gives long-run total cost, and which
In a recent year, a long, hard winter gave rise to stronger-than-normal demand for heating oil. The following summer was characterized by strong demand for gasoline by vacationers. Show what these
A study of immunizing children in poor countries against diphtheria, pertussis, and tetanus estimated that, in the long run, a 10% increase in the number of children vaccinated increases the total
Ludmillaâ€™s House of Schnitzel is currently producing 10 schnitzels a day at point A on the following diagram. Ludmillaâ€™s business partner, Hans (an impatient sort), wants her to double
Clean â€˜nâ€™ Shine is a competitor to Spotless Car Wash. Like Spotless, it must pay $150 per day for each automated line it uses. But Clean â€˜nâ€™ Shine has been able to tap into
In Table, when output rises from 90 to 130 units, marginal cost is $3.00. For this change in output, marginal cost is greater than the previous AVC ($2.67) but less than the previous ATC ($4.33).
A soft drink manufacturer that uses just labor (variable) and capital (fixed) paid a consulting firm thousand of dollars to calculate short-run costs at various output levels. But after the cost
If a firm has diminishing returns to labor over some range of output, it cannot have economies of scale over that range. True or false? Explain briefly.
Draw the long-run total cost and long-run average cost curves for a firm that experiences:a. Constant returns to scale over all output levels.b. Diseconomies of scale over low levels of output,
A firm has the strange ATC curve drawn in the following figure. Sketch in the marginal cost curve this firm must have.
The following curve shows the marginal product of labor for a firm at different levels of output.a. Show what the corresponding total product curve would look like.b. Do the total and marginal
You have a part-time work/study job at the library that pays $10 per hour, 3 hours per day on Saturdays and Sundays. Some friends want you to join them on a weekend ski trip leaving Friday night and
Until recently, you worked for a software development firm at a yearly salary of $35,000. Now, you decide to open your own business. You quit your job, cash in a $10,000 savings account (which pays 5
The following data are price/quantity/cost combinations for Titan Industry€™s mainframe computer division:a. What is the marginal revenue if output rises from 2 to 3 units? What is the
Each entry in this table shows marginal revenue and marginal cost when a firm increases output to the given quantity:What is the profit-maximizing level ofoutput?
The following tables give information about demand and total cost for two firms. In the short run, how much should eachproduce?
At its best possible output level, a firm has total revenue of $3,500 per day and total cost of $7,000 per day. What should this firm do in the short run if?a. The firm has total fixed costs of
Suppose you own a restaurant that serves only dinner. You are trying to decide whether or not to rent out your dining room and kitchen during mornings to another firm, The Breakfast Club, Inc. That
Suppose that, due to a dramatic rise in real estate taxes, Ned’s Beds’ total fixed cost rises from $300 to $1,300 per day. Use the data of Table 1 to answer the following:a. What does the tax
A firmâ€™s marginal profit can be defined as the change in its profit when output increases by one unit.a. Compute the marginal profit for each change in Nedâ€™s Bedsâ€™ output in
Suppose Ned€™s Beds does not have to lower the price in order to sell more beds. Specifically, suppose Ned can sell all the beds he wants at a price of $275 per bed.a. What will
Howell Industries specializes in precision plastics. Their latest invention promises to revolutionize the electronics industry, and they have already made and sold 75 of the miracle devices. They
Assume that the market for cardboard is perfectly competitive (if not very exciting). In each of the following scenarios, should a typical firm continue to produce or should it shut down in the short
Suppose that a perfectly competitive firm has the following total variable costs (TVC):It also has total fixed costs (TFC) of $6. If the market price is $5 per unit:a. Find the firm's
A profit-maximizing competitive firm will produce the quantity of output at which price exceeds cost per unit by the greatest possible amount. True or false? Explain briefly.
The following table gives quantity supplied and quantity demanded at various prices in the perfectly competitive meat-packing market:Assume that each firm in the meat-packing industry faces the

Showing 2400 - 2500 of 26762

First
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
Last

Get In Touch

About Us
Contact Us
Career
Jobs
FAQ
Campus Ambassador

Company Info

Security
Copyrights
Privacy Policy
Terms & Condition
SolutionInn Fee
Scholarship

Services

Sitemap
Fun
Definitions
Become Tutor
Study Help Categories
Recent Questions
Expert Questions

Copyright © 2024 SolutionInn All Rights Reserved.

Get the SolutionInn - Study Help App