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Find an article in a recent newspaper or magazine illustrating a change in price or quantity in some market. Analyze the situation using economic reasoning. 1. Has there been an increase or decrease in demand? Factors that could shift the demand curve include changes in preferences, changes in income, changes in the price of substitutes or complements, or changes in the number of consumers in the market. 2. Has there been an increase or decrease in supply? Factors that could shift the supply curve include changes in costs of materials, wages, or other inputs; changes in technology; or changes in the number of firms in the market. 3. Draw a supply and demand graph to explain this change. Be sure to label your graph and clearly indicate which curve shifts. Reminder: price changes will not cause either curve to shift.
Mary is in equilibrium. The MUa =6, MUb =12, Pa=2, what is the price of b? Zach is in equilibrium. The MUa=2, MUb=8, what is the price of a in terms of the price of b? What is the utility maximizing or optimization condition?
The construction cost of a permanent park is $600,000. Annual maintenance and operation costs are $120,000 per year. At an interest rate of 10% per year, the capitalized cost of the park is nearest to:
A shirt company spends $1,000 per week on rent for its factory. Each shirt made at the factory requires $2 worth of cloth and $8 worth of labour and energy. Illustrate what is the marginal cost of a shirt.
q1. supply and demand for good are given as follows p 1000 - 1.5qd p 60 2.5qsillustrate what is equilibrium quantity?
The university is seeking a grants to cover capital cost. How big of a grant would make this project worthwhile (to the university)?
Suppose that full-employment (and full-capacity) output in an economy is $200. If Ca is $150, lg is $50, Xn is -$10, and G is $30, what will be the macroeconomic result?
q.suppose that a group of sonoma county buy local advocates propose a complementary currency that can only be used to
What is the change in the total amount that J & R National Bank can loan out? Explain.ii. What is the total amount that the bank can create? Explain.
Suppose that the nominal rate of interest is holding steady at 8 percent even as the anticipated rate of inflation rises.
Esmerelda worked parttime for her mother’s business without pay. Tabitha was absent from work because she had strep throat. Who is counted as “employed” by the Bureau of Labor Statistics? Cyclical unemployment results from? Which of the following pe..
What is the confidence interval for the proportion of households represented at a town meeting. Survey of households in a small town showed that in 850 of 1,200 sampled households.
Under what conditions should a manager use each of the following rules/options for pricing decisions: (a) Maximax Rule; (b) Maximin Rule; (c) Minimax Regret Rule; and (d) Equal Probability Rule? Also address the potential pitfalls of using each rule.
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