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In the estimation of demand, the "identification problem" refers to
the problem of selecting the proper level of significance.
the problem of deciding whether to use time series or cross sectional data.
the problem of separating out the effects of price on the quantity demanded when supply cannot be not held constant.
the problem of having insufficient variation in prices.
"If every employer hired its best qualified applicants for a job at every opportunity, the phenomenon of black poverty (as distinct from poverty) could be wiped out in ten years." Do you agree/disagree? Comment.
If consumer incomes rise to $30,000, illustrate what will be the new equilibrium price and the new equilibrium quantity.
Engineers at national research laboratory built a prototype automobile which could be driven 180 miles on single gallon of unleaded gasoline. They estimated that in the mass production the care would cost 40k for each unit to build.
In a monopolistically competitive marketplace, a firm has market power because it produces a differentiated product. This means that the firm earns positive economic profit in the long run.
Theory Galbraiths of consumer demand has an important implication in terms of underallocation of resources to public goods.
When McDonalds Corp reduced its price of the big mac by 75 percent-Using your knowledge of game theory, what do you think disrupted McDonald's plan?
In an article about the financial problems of the USA today, Newsweek reported that the paper was losing about $20 million a year.
Elucidate three arious ways in which the Federal Reserve would change the money supply.
Explain how does the trade deficit impact the U.S. economy. Explain how do changes in exchange rate affect a federal government organization.
Elucidate assumption concerning economies of scale will give rise to a determinant and optimal scale of the firm in Long run equilibrium in perfect competetion.
Price Discrimination: Assume that United Airlines knows that it faces the following demand equations and corresponding marginal revenue equations for its (one-way) SFO to Las Vegas route
Credit cards are sometimes discussed as a public problem. In 2001, purchases on credit cards accounted for 21% of consumer spending in America, which has the lowest savings rate of any big country.
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