Copper, Microeconomics

Around 2007, the world copper price was $2.00 per pound and 12 million metric tons per year was the quantity transacted. A) Assume copper’s demand elasticity is -.5 and supply elasticity is 1.5. From this information, assuming that copper supply and demand curves are linear (in price), derive their equations. B) Now, in addition, I told you that demand for copper is also linear in income and that copper’s income elasticity is 1.3, would you be able to predict, the impact on equilibrium price for a 1% increase in income? Original income is not needed to answer this question.
Posted Date: 4/3/2012 4:56:53 PM | Location : United States







Related Discussions:- Copper, Assignment Help, Ask Question on Copper, Get Answer, Expert's Help, Copper Discussions

Write discussion on Copper
Your posts are moderated
Related Questions
what is diffusion and effusion of gases? Describe Graham''s law of diffusion, effusion. Diffusion of gases While during two gases are brought together they mix with each other in

solution for calculate price elasticity of demand for demand function Q= 10 - 2p for decrease in price from Rs. 3 to Rs.2..

write name and symbol of element from s-block that has zero oxidation state?

A firm's production function is given by Q = √LK . The price of labour is w and the price of capital is r. a. The price of labour is $5 and the price of capital is $20. What is

An economy can produce a maximum of either 28 million tons of wheat or 7,000 automobiles, or various intermediate quantities, as depicted in the table below:

what the third degree price discrimination with case study of two successfull and unsuccessfull cases?

In the case of a tax abolition on food staples, what are the short run and long run effects?

assumption of mariss model

CONCEPT AND MEANING OF INFRASTRUCTURE: Infrastructure sectors are the backbone of a national economy. It has been commonly opined that infrastructure development is closely re

Use a PPF to explain the difference between actual and potential growth. The PPF shows possible output, taking into consideration all factors of production - but de facto outpu