Short-run demand for gasoline is less elastic

Assignment Help Business Economics
Reference no: EM136003

Q1. Why the short-run demand for gasoline is less elastic than the long-run demand, when the price of gasoline rises, people immediately cut back on unnecessary trips. If the price of gasoline stays high, people eventually replace their cars with more fuel-efficient models?

Q2. Suppose a Japanese firm buys a 1 year treasury bill with a face value of $10,000 today for $9400. If the value of the dollar declined from 90 to 80 yen during the year, what rate of return does the Japanese firm earn on its investment?

Reference no: EM136003

Questions Cloud

Adopting a dividend policy : If the company has not paid dividends, discuss why think the company is not paying dividends or whether they should consider adopting a dividend policy.
United states to raise its own interest rate : Compare the effects of the two policies, based on the models developed. Why might the United States have preferred one policy over another.
United states trades : The terms of trade if the united states trades 1 can of soda for 5 units of clothing.
German balance of payments : Show how the transaction would have been recorded in the German balance of payments accounts. What was the net effect on the German balance of payments.
Short-run demand for gasoline is less elastic : Why the short-run demand for gasoline is less elastic than the long-run demand, when the price of gasoline rises, people immediately cut back on unnecessary trips.
Unemployment insurance in the united states : Assuming labour demand is downward sloping and that the labour market is competitive, what happens to national income as a result in immigration.
Extremely expensive to monitor : A firm that finds it extremely expensive to monitor the output of each worker will likely pay its workers
Unions usually advertise to its members and potential member : Which of the government policies below is not likely to encourage per capita economic growth.
Two alternative recreation projects : A county is considering using a piece of park land for one of two alternative recreation projects.

Reviews

Write a Review

 

Business Economics Questions & Answers

  Mining is proposed for a wilderness area

Mining is proposed for a wilderness area that provides two benefits: recreation due to backpacking opportunities and biodiversity there are endangered wildlife and plants.

  Economic profit or loss

What was the accounting profit for the new business. What was the economic profit or loss. Explain your calculations for both questions.

  Semiconductor chips are used to store information

Semiconductor chips are used to store information in electronic products, such as personal computers. One of the early leaders in the production of these chips was Texas Instruments (TI).

  People believe the difficulties aisian economies

Why did people believe the difficulties Aisian economies were expericing in 1997-1998

  Elucidate the maximize profits

Suppose at the current level of labor used, the MRP = $100 and the MFC = $50. Elucidate the maximize profits

  Calculate gross national product and net national product

Calculate gross national product and net national product

  Von neumann morgenstern axioms

The consumer is indifferent between B and a lottery ticket with probabilities. Construct a set of von Neumann - Morgenstern utility numbers for the four situations.

  What occurs when a new technology makes another one obsolete

Explain what occurs when a new technology makes another one obsolete in terms of economic profit.

  How long time to use in the present value calculation

Someone proposes to buy the farm from you for $1 million. Would you make more by selling the farm or keeping it

  Think of any financial innovation in the past ten years

Think of any financial innovation in the past ten years

  Describe a skimming price and a penetration price

Describe a skimming price and a penetration price, and advise them whether they should charge a skimming price or a penetration price, with supportive reasoning for and against each pricing alternative.

  Dependency theory characterizes countries

Dependency theory characterizes countries as being either in the center or on the periphery

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd