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Consider a market with two consumers, A and B that have individual demand functions of q D A = 12 2p q D B = 9 p and a market supply function of Q S = 4 + 2p
(a) Plot both demand curves and the supply curve.
(b) What is the equilibrium price in this market? (Hint: You may need to derive another curve to Önd this) 1 (c) How much of the good does each consumer demand in equilibrium?
Discuss the conditions that will help the union achieve the objective. Why might a union be unable to meet its goal?
Suppose that a formerly closed small economy becomes open. What will happen to the effectiveness of fiscal and monetary policies in affecting GDP if the economy operates under flexible exchange rate? Illustrate your answers graphically. How does your..
Which of the following is not a reason monopolies exist?
A very popular sales technique at pizza establishments is : “Buy two large pizzas and get a third large pizza free (limit one free pizza per customer)” Suppose you only consume two goods, pizza and pop. Draw indifference curves showing your consumer ..
“Dams ‘R’ Us” operates a major hydropower dam on the Klamath River in Oregon. In the event of dam failure, there would be major damages to local communities. The company can reduce the probability of failure through proper maintenance of the facility..
The CEO has asked for your input into establishing budget timelines. briefly explain how you can use the concept of a budget calendar in describing reporting timelines to reply to the CEO?
Find the equal annual payment series that would be equivalent to the following increasing series of payments if the interest rate is 12%.
What is the future worth of a series of equal monthly payments of $5,000 if the series extends over a period of six years at 9% interest compounded?
At prompting of United States, Japan relaxed restrictions and allowed companies to invest anywhere in world. What effect do you think this had on yen/dollar exchange rate and trade balance between two countries.
Suppose the economy's production function is Y = A(300N – N^2). The marginal product of labor is MPN = A(300 - 2N). Suppose that A = 10. The supply of labor is NS = 0.05w + 0.005G. what are the real wage, employment, and output?
The aggregate demand and aggregate supply model is a useful simplification of the macro economy used to explain short-run fluctuations in economic activity around its long-run trend. The vertical axis of a diagram of the aggregate demand and aggregat..
Use the computational method for elasticity described in the textbook. The demand curve for hotel rooms is Q = 1100 - 2P. If the price of a hotel room is $50, then the price elasticity of demand for hotel rooms is -0.1, -1.0, -10.0, 0?
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