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Electric cars: Now consider the invention of cheap electric vehicles. Explain how you imagine the invention of cheap electric cars would affect the demand for gasoline? Why? Which determinant of demand or supply would be affected? Show graphically with before and after curves on the same axes. How will this change the equilibrium price and quantity of gasoline? Explain your reasoning. (Be sure to identify which of the following apply: the cost of production, a change in technology, tastes and preferences, income, the price of substitutes or the price of complements affects equilibrium price and equilibrium quantity)
she estimates that she can produce and sell an extra 1,400 hamburgers per day by keeping the restaurant open for three more hours per day at a cost of $50 per hour. Which of these two alternative ways of increasing output should sh..
Why did the companies and services described in this case need to mania in and analyze big data? What business benefits did they obtain? How much are they helped by analyzing big data?
Find the total revenue of the monopolist when it sells 6 units of the commodity without practicing any form of price discrimination. What is the value of the consumers' surplus?
"The problem with our democratic institutions is that they dont correctly reflect the will of the people! If the people rather than self-interested politicians or lobbyists- had control, we wouldnt have to worry about government taking actions that d..
Illustrate what problem is posed by any comparison over time of market values of various total outputs. How is this problem resolved.
Electricity is often generated using coal fired plants. Unfortunately, coal burning produces SO2, which causes acid rain. Consider two countries that border each other to answer the following question. Country A’s SO2 emissions are known to negativel..
What are the necessary conditions for economic efficiency? In what four situations might a market fail to achieve ideal economic efficiency?
Samantha Roberts has a job as a pharmacist earning $30,000 per year, and she is deciding whether to take another job as the manager of another pharmacy for $40,000 per year or to purchase a pharmacy that generates a revenue of $200,000 per year.Compa..
Garden plots at the Aches and Pains Elderxare facility rent for $1 per square foot per month. Lucky has $100 per month to spend on her garden and bus with each bus ride costing $5. The good news is that Lucky's children will pay for half the cost of ..
When the accounting profit equals the implicit costs, the firm earns
Critics suggest that rational behaviour can't be true because: 1) people make mistakes, 2) people make decisions by habit, and 3) people often take into account the interests of others. Why don't these issues invalidate the assumption of rational beh..
Let market demand be given by the inverse demand function P = 300-2Q, where Q = q1 +q2 +...+qn. The cost function for each firm in the industry is c(qi) = F +20qi+q 2 i . Firms are Cournot competitors. Find each firm’s equilibrium output and profit ..
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