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1. As low-carb diets increased in popularity, egg prices rose sharply. How might this affect the monks’ supply of cookies or private retreats? (See the Case in Point on the Monks of St. Benedict’s.)
2. Gasoline prices typically rise during the summer, a time of heavy tourist traffic. A “street talk” feature on a radio station sought tourist reaction to higher gasoline prices. Here was one response: “I don’t like ’em [the higher prices] much. I think the gas companies just use any excuse to jack up prices, and they’re doing it again now.” How does this tourist’s perspective differ from that of economists who use the model of demand and supply?
Briefly discuss whether this problem provides enough information to determine whether the equilibrium price and quantity of trucks increased or decreased.
Suppose that a profit maximizing companies short run cost is TC=700+60Q. If the demand curve P=300-15Q, which of these options should it do in short run?
Ice cream and pie if these are goods that you like, but if you eat too much of either, you get sick of them. If you are sick of a good, eating more of it lowers you utility.
What is the effect of the United Arab Emirates' increasing sovereign wealth funds on GDP?
suppose that lin jun subscribes to the 88 yuan per month plan. (i) how much calling time would she consume? (ii) what would be her total benefit? (iii) what would be her buyer surplus (benefit less charges)?
A manufacturing company leases a machine for $31,812 per year. Each unit produced costs $36 in labor and $72 in materials. To break even, 21,000 units must be sold. What is the selling price for the product
If you were the head of the Japanese Central Bank, how would you respond if your goal was to keep the interest rates at the original equilibrium level.
Last Friday night, Rich went to a tavern to buy pizza and bottles of beer. He noticed that four pieces of pizza and two bottles of beer cost the same as two pieces of pizza and eight bottles of beer. What is the cost, in bottles of beer, of a slic..
How much would Firm A be willing to pay to B so that A could move first. Thealternative is to keep playing the current game.
The marginal cost of making a wedding cake is $200. In order to maximize profits, Laura should make more than 20 wedding cakes per month. make fewer than 20 wedding cakes per month.
What does the analysis of the 'hold up' problem contribute to the explanation of the size and scope of firms?
In your own words, describe the law of demand through the income and substitution effects, using a price increase as a point of departure for your discussion.
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