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Q1. Ollie has 40 dollars, which he decides to spend on x and y. Commodity x costs $13 every unit and commodity y costs $11 every unit. He has the utility function U(x; y) = 6x2 + 4y2 and he can purchase fractional units of x and y.
Q2. Nick insists on consuming 3 times as much of y as he consumes of x (so he always has y = 3x). He will consume these goods in no other ratio. The price of x is 2 times the price of y. Nick has an endowment of 20 x's and 75 y's which he can trade at the going prices. He has no other source of income. Illustrate what is Nick's gross demand for x?
What is now the effect on gold consumption and mining of an increased use of gold as money.
The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.
The effectiveness of different kinds of incentive systems: moral, material, and coercive.
The numbers on this spectrum represent the number of voters lying to the left of the number.
If the demand for gold residue high explain what would happen to the price in excess of time.
You find out which your aunt works for a defense manufacturing company which has several defense contracts with the government.
What is the difference between the index number for the year you were born and the Consumer Price Index for January of 2012.
Elucidate how they will help to improve the GDP as a tool for measuring the well-being of a nation.
Coke could have followed the price per unit down, but it didn't. Total soft drink demand increased, and Pepsi took a larger share of the demand.
If planned aggregate expenditure (PAE) in an economy equals 2,000 + 0.48Y and potential output (Y*) equals 4,000, then this economy.
Suppose that Missing Link must pay a tax equal to 40% of its gross revenue. What is the optimal number of machines for the company.
Calculate the cost elasticity of demand as well as for paint as well as show your calculations.
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