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Which of the following is NOT an example of a demand shift?
a. A promotion at works leads to increased spending on vacation travel. b. A shoe store sale leads to higher demand for its shoes. c. A safety recall of the Honda Prius leads to lower demand for the Honda Civic. d. An increase in coffee bean prices leads to a fall in demand for lattes
You are considering two alternative plant layouts, A1 and A2, to improve its current layout. The cash flows are shown below. The first costs represent the expenses of rearranging the current layout to the alternative new layout and the annual savings..
Suppose the price elasticity of demand for bread is 1.00. If the price of bread falls by 20%, the quantity demanded will increase by: Suppose that a 20% decrease in the price of good Y causes a 20% increase in demand for good X. The coefficient of cr..
illustrate what is the income-expenditure multiplier in this economy. Using at least two different quality tools, analyze the data and present your conclusions.
q1. explain how does a country become an importer of a good? an exporter of a good? illustrate what is a tariff?
Find the number of units of input L that maximizes the average product function. Determine the boundaries for the three stages of production.
The production process requires labor and capital as inputs. Labor costs $6 per labor hour and capital costs $12 per machine hour.
You have just purchased a house for $400,000, paid $24,000 for legal fees and $17,000 for renovations. The market price of the house does not change. If the sales tax on a house were 3% (to be paid by you if you sell the house), what is the sunk cost..
A wealthy businessman wants to start a permanent fund for supporting research on sustainability. The donor plans to give equal amounts of money for each of the next five years, plus one gift now (i.e., six donations in total), so that $100,000 per ye..
q1. consider a monopsony employer in a labour market. elucidate explain how a union in this labour market might
At the moment the market is completely ignoring things like record U.S. trade deficits and the widening curent account deficit. It is also largely ignoring the possibility of Federal Reserve rate cuts. In what way is monetary easing in Germany releva..
What are monopolist's profit maximizing output and price. What is resulting deadweight loss relative to competitive outcome. Suppose government levies a specific tax of $5 per dose on monopolist.
The government imposes a maximum price on apartments that is below the equilibrium price.
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