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Find an article about a current event that discusses a change in the supply or demand of a product. For example, has there been a weather event that has affected certain food crops or the availability of energy? Has a new consumer product been introduced? Or has a government regulation affected the production of a product? Provide a brief description of the article’s content and explain how economics can be used to analyze the situation and predict changes in equilibrium prices and quantities. Will the change likely persist over time, or is it temporary?
Inflation may fall without a significant increase in unemployment if
What are some of the reasons that the U.S. has greater degrees of income and wealth inequality than other high-income market capitalist economies?
Inflation during the 1970s was much higher than most people had expected when the decade began. How did this affect home-owners who obtained fixed-rate mortgages during the 1960's? How did it affect the banks that lent the money?
A firm in a purely competitive industry is currently producing 1,000 units per day at a total cost of $450. If the firm produced 800 units per day, its total cost would be $300, and if it produced 500 units per day, its total cost would be $275. If e..
ABC Company acquired some land (independently appraised at $12,000) and paid for it by issuing 1,000 shares of its common stock (par $10 per share; no market price was quoted). How should this transaction be reported on the Statement of Cash Flows (S..
Assume that a country’s real growth is 2 percent per year, while its real deficit is rising 5 percent a year. Can the country continue to afford such deficits indefinitely?
You are given the following information about the market for market data for a brand of refrigerators. calculate the consumer and producer surplus in this market. Calculate the new consumer and producer surplus in this market. Calculate any deadweig..
A 10% increase in the price of pizza causes a 10% drop in the quantity of both pizza and beer sold. Describe elasticities and the nature of the two products.
You have been hired to manage a small manufacturing facility whose cost and production data are given in the table below. (20 points) Workers Total Labor Cost Output Total Revenue 1 $50 100 $700 2 $100 250 $1,150 3 $150 300 $1,440 4 $200 380 $1,620 5..
“The pervasive problem of scarcity means that every society must choose among alternative uses of its limited resources. Society has only so much labor, capital, land and entrepreneurship that can be used to satisfy the unlimited wants of its members..
Management and a labor union are bargaining over how much of a $50 surplus to give to the union. The $50 is divisible up to one cent. The players have one-shot to reach an agreement.
Evaluate the results of the regression equation tells managers and how it is likely to impact decisions made related to maximizing profitability.
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