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Over the past five years American consumers have decreased their frequency of taking vacations. It is believed that a few factors may have led to this decrease. The recession of 2009 effectively stalled income growth in the country while at the same time the prices of vacation travel steadily rose. Given this information show with indifference mapping the change in consumer optimization between vacations as good x and “other goods” as good y the impact of:
a. The reduction of income
b. The increase in prices
c. What if instead of any change to income or prices (you can assume they just stay constant), the true reason for the reduction was that past bad experiences on vacations just led consumers to want less of them.
Economists sometimes shock noneconomists by stating that they do not favor the complete elimination of pollution. Explain the rationale for this position.
Calculate the consumer surplus, the producer surplus, and the total welfare for the competitive equilibrium determined in part (a) of this question.
Describe Illustrate what will happen in this market as it moves to a new equilibrium. If a hard freeze eliminates Brazil's premium coffee crop, illustrate what will happen to cost of premium coffee.
Elucidate why liberals have traditionally endorsed national authority.
q.to purchase a house that cost 250000 adriana lopez made a 25000 down payment. she financed the remaining 225000 using
The inverse demand that duopoly quantity-setting firms faces is p = 90 - 2q1 - 2q2. Firm #1 has no marginal cost of production, while firm #2 has a marginal cost of $30. How much does each firm produce if they move simultaneously? What is the equ..
Elucidate the fact that the cross-price elasticity of natural gas with respect to the price of fuel oil.
Illustrate what is area of employment why has this shift occurred in illustrate what direction would shift in labour supply and demand go. Illustrate what would be its effect on equilibrium of labour market.
Green home is define as an Energy Efficient Home using Energy Star Rating. The cost doesn't have to be exact, all I need is how to formulate my Cost Benefit Analysis and how to compute my ROI or Pay Back Time.
How should the federal reserve react if they desire to bring inflation down to 3% Wren will they achieve that goal? (Hint: maintain plenty of decimal places.)
Elucidate why the first mover will not install a capacity less than 6 or greater than 12.
q1. during the purchasing decision evaluation stage the consumer forms preferences among the brands in the choice set.
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