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Assume the market for heating energy. This year it is forecasted to be an unusually cold winter. Explain what will happen to the market for heating energy. Identify the effect on equilibrium quantity and price. What happens to the number of firms in the market? Show the deadweight loss in the graph after change. Be sure to identify the initial equilibrium.
There is an intimate connection between politics and economics, and different systems of the two can only exist side-by-side in certain pairings. For instance, says Friedman, a society which is (economically) socialist cannot also be (politically) de..
Compute the price, output, and profit contribution if the product is not certified.
Let’s say you plan to retire 40 years from now, and you decide you could live on $40,000 per year if you retired today. If the inflation rate is 3% between now and your retirement date, how much money per year would you need to have saved?
What is inflation? What are the causes of inflation? Is inflation desirable and what can be done to control inflation in a market economy? What is the Consumer Price Index (CPI)? How has the CPI behaved since the year 2000? What have been the caus..
q. think about a firm recently that you have done business with. illustrate what industry does this firm belong to? for
A sudden decrease in the market demand in a competitive industry leads to
Nations with corrupt police and court systems typically have lower standard of living as compared to nations with less corruption. Why might that be the case?
Jane lives in a dormitory that offers soft drinks and chips for sale in vending machines. Her marginal utility for soft drinks (Good X) is equal to 3Yand her marginal utility of chips (Good Y) is equal to 3X. MUx = 3Y MUY = 3X Soft drinks are priced ..
Using information given: What is average cost of first do these of a new drug. What about marginal cost of subsequent doses? Is this consistent with behaviour of costs for an information product.
Explain the role of the following factors in the upswing in the financial cycle that preceded the global financial crisis:
Consider a health insurance contract offered to a population of risk averse people. People in the population have different risks for illness and this is known to each person but is unknown to others. Would the market for this health insurance produc..
Policymakers will seek to cure an economy suffering from demand-pull inflation by:
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