How many bottles of merlot will cao yawen buy

Assignment Help Microeconomics

Reference no: EM132208462

Question: Assune CAO Yawen's passion is fine wine. When the prices of all fixed at current levels, CAO Yawen's demand function for highquality merlot is q other goods ane = .02m-2p, where m is her income, p is the price of merlot(in British pounds), and q is the number of bottles of merlot that she demands. CAO Yawen's income is 7,500 pounds, and the price of a bottle of suitable merlot is 30 pounds.

(a) How many bottles of merlot will CAO Yawen buy?

(b) If the price of merlot rose to 40 pounds, how much income would CAO Yawen have to have in order to be exactly able to afford the amount of merlot and the amount of other goods that she bought before the price change?

(d) At her original income of 7,500 and a price of 40, how much merlot would CAO Yawen demand?

(e) When the price of merlot rose from 30 to 40, what's the number of bottles that CAO Yawen demanded decreased. Among this number, how many is for the substitution effect and how many is for the income effect.

Reference no: EM132208462

Questions Cloud

Write a program that should calculate and report the sum : Write a program that should calculate and report the sum of all the integers between and including two integers.

Count the number of characters in a null-terminated : Write a program called COUNT to count the number of characters in a null-terminated ASCII string that are equal to a KEY.

How many btus of heat are delivered to a house given : Write a program that calculates how many BTUs of heat are delivered to a house given the number of gallons of oil burned and the efficiency of the house's oil.

Discussion of the implications and limitations of the study : A researcher has been given the task of identifying factors that influence children's performance on reading tests at the end of primary schooling

How many bottles of merlot will cao yawen buy : Assune CAO Yawen's passion is fine wine. When the prices of all fixed at current levels, CAO Yawen's demand function for highquality merlot is q other goods.

Write a program to calculate area and perimeter of pentagon : Write a program to calculate the area and perimeter of a pentagon. User should enter the required input.

How the great recession was brought to an end : In the book of "How the Great Recession Was Brought to an End" written by Alan and mark, it said that "We estimate that the latter was substantially.

Draw the appropriate demand and marginal revenue curves : Explain in your own words why a seller in an oligopoly market (such as smartphones or domestic airlines), where mutual interdependence and rivals' responses.

Write a program in c which creates two child processes : Write a program in C which creates two child processes. Each child process should read a character from the keyboard and then write it to a single pipe.

User Account

All Pages