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Elasticity of Natural Gas
1. Using the elasticity concept explain why the demand for residential natural gas (gas used for heating, cooling, and cooking) is more elastic than the demand for residential electricity.
2. What were some changes of the demand and supply fconditions that lead to the housing market bubble and collapse?
How income may change savings behavior
Utilize an elasticity concept to elucidate each of the following observations.
Find out the price elasticity of demand regarding to the money price using "arc elasticity."
Explain why you would be more or less willing to buy a share of Apple Computers stock in the following situations:
A team of minor league baseball is trying to predict ticket sales for the upcoming season and is considering changing ticket prices.
Compute real GDP for 2004 and 2005 using 2004 prices. By what percent did real GDP grow? Compute the value of the price index for GDP for 2005 by using 2004 as the base year. By what percent did prices increase?
Illustrate fiscal policies also monetary policies which would be appropriate at this time.
Perfect competition guarantees allocative efficiency. A profit-maximizing monopolist can never be allocatively efficient.
The raise of Hispanics in the labor force but required data showing what it means. Explain how much of and increase in the labor force.
President Obama pushed his massive fiscal stimulus package of $787 through the Congress and later passed by the House and Senate, whose centerpiece was spending most of this stimulus funds
Suppose that the assumption in key concept are satisfied. Show that X i is a valid instrument. That is, show that key concept 12.3 is satisfied with Z i = X i .
Elucidate what would the elasticity of supply have to be for a food stamp program to increase the availability of food to the poor with no prices increase.
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