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Q2. Assume you are a painter also the price of a gallon of paint rises from $3.00 a gallon to $3.50 a gallon. Your usage of paint drops from 35 gallons a month to 20 gallons a month. Perform the following:
1. Compute the price elasticity of Demand for paint also Elucidate how your calculations.
2. Decide whether the Demand for paint is elastic, unitary elastic or inelastic.
3. Elucidate your reasoning also interpret your results.
Even those who were not directly affected by the destruction were hurt because businesses failed or contracted and jobs dried up.
Assume that this cost is set by an upstream wholesaler with monopoly pricing power.
The currency-deposit ratio has been and is likely to remain relatively stable. The ratio of non-transactions deposits to transactions deposits increased by a factor.
Compute the deadweight loss if the U.S. imposes a tariff of 25 cents per bottle of imported wine.
Assume a one-time decrease in population, possibly caused by an onset of disease or a sudden out-migration.
If buyers pay $8 per unit to the intermediary but sellers offer to rebate part of that expense to buyers.
llustrate what will be the equilibrium price also quantity in the market. Illustrate what is the total market profit also consumer surplus.
According to the rule of most favorable input usage, a firm should hire a person as long as her marginal revenue product is greater than her marginal cost to the corporation.
If the countries split the market evenly, Illustrate what would be South Africa's production also profit
Illustrate what are the advantages and the risks of linking the scorecard to compensation.
Explain how this new inflationary environment would affect the demand for money according to portfolio theories of money demand.
Explain in detail rather than general in your recommendation.
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