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Price ceiling and a price floor on a market
Demonstrate the effects of a price ceiling and a price floor on a market. As for what happens with pricing is different than equilibrium, a price Floor is Minimum wage where the wage rate is higher than the rate at equilibrium. While a price Ceiling is like rent controls in large cities to keep rents lower so it is more affordable which causes rents to be lower than equilibrium. Minimum wage is one example and New York's Rent Control is another one. Discuss which of these two examples is either a floor; or a ceiling and explain why? Videos may help in the Announcements.
A major competitor cut their price also the industry sales declined to 8000 shoes per month, If the company wishes to restore
As per the Solow model, how would each of the following affect consumption per worker in the long run.
If I have to lay-off 19 employees as the company is upside down -$1878.00 after total cost. So, by cutting staff of 19 with a salary of $100 per day, an eight hr day, how much will I save.
Illustrate what are the dividend payout ratios for each firm. What are the expected dividend growth rates for each firm.
Rise in customers income will make increase in the quantity demanded.
The industry will also incur expenses in the amount of $150,000. Explain how many shares must the industry sell to net $20 million after underwriting and flotation expenses.
Illustrate what has happened to the price and quantity of the substitutes and complimentary goods/ services for your selected product over the last year.
Explain how would you classify the product in terms of it's income elasticity.
How does an active fiscal policy helps or hinder long-run growth in the economy.
Elucidate how tax credit to a business would help to stimulate the economy.
For each of the following events, state whether the aggregate demand curve would increase, decrease, or stay the same.
Consumption accounts for about 60% of GDP, while investments accounts for about 20% for GDP. But many economists think that, to understand economic recession, it is more significant to look at investment than consumption. Why?
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