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Q1. Assume the monthly demand for soda by a consumer is given by.
a. If the price of soda is $1 per can, explain how many sodas will the consumer purchase in a typical month?
b. Illustrate what is the elasticity of demand for soda?
Q2. Assume that a freeze in Florida wipes out 20 percent of the orange crop. Explain how will this event affect the equilibrium price and quantity of Florida oranges?
Q3. Boulder, Inc., exports chairs to Europe (invoiced in U.S. dollars) and competes against local companies of Europe. If purchasing power parity exists, why would Boulder not benefit from a stJorgeg euro?
Changes in disposable income affect government purchases and the government purchase function. How do changes in net taxes affect the consumption function.
Any goods from all should be of higher demand than supply; the other good should show higher supply than demand.
When a company's depreciation is larger than its gross investment, net investment becomes negative and the firm's capital stock decreases.
Idea that a country can simultaneously pursue only two of the three following policies: free international-capital flows, monetary policy for domestic stabilization, and a fixed exchange rate.
In 2012, Balnur taught music and earned $20,000. She also earned $4,000 by renting out her basement. On January 1, 2013, she quit teaching, stopped renting out her basement, and began to use it as the office for her new Web site design business.
If the annual real interest rate on the loans is 6%, explain how many car companies will buy a new car assembly machine.
Which characteristic of competitive markets permits society to answer the illustrate what to create question efficiently.
Would you expect firms in a tight oligopoly market reap higher profits than firms in a loose oligopoly market.
What effect would a 30 percent reduction in the number of new homes completed have on Mapco's sale.
How much deadweight loss does Great Reception causes when it restricts output and charges a price above marginal cost.
Why might a company use an indirect cost discrimination scheme versus direct cost discrimination
Assume that a very competitive start-up enters the market in direct competition with the oligopoly you described in the e-Activity.
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