Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
The arc elasticity of demand
Suppose the price of apples rises from $3 a pound to $3.45 and your consumption of apples drops from 30 pounds of apples a month to 21 pounds of apples. Calculate your price elasticity of demand of apples. What can you say about your price elasticity of demand of apples? Is it Elastic, Inelastic, or Unitary Elastic? Be sure to show the work you used to support your answer.
Again, since you are given numbers in this assignment, use those numbers to solve for your answer. (This is true for all assignments. Whenever you are given numbers, use those numbers in your calculations and in solving for the final answer. You want to be as specific as possible.) Price elasticity of demand is one of the harder concepts in this class. We will more than likely cover elasticity and an example in the second chat of this unit. Make sure you read all of chapter 5. Elasticity is a concept applied to supply and demand, so if you do not have a good feel for the information in chapter 4, I suggest you get a handle on that first. Then the application of elasticity may be a bit easier to understand. You may use either the midpoint formula or the simple formula (using the first data point given as your reference point which would be the price of $3 and the quantity of 30 pounds in this assignment) to compute the elasticity of demand. Make sure you provide the actual coefficient of elasticity since that is what the question is asking for. Beyond just answering the second question ("Is it Elastic, Inelastic, or Unit Elastic?"), give some reasons why. Think about the factors that make demand more or less elastic and apply them to this specific good in the assignment. Remember, it is the demand for the good that is elastic or inelastic. The good itself is not what is elastic or inelastic. Also, make sure you continue to use the correct terms when considering changes in price or changes in some other factors when talking about a change in quantity demanded or a change in demand. The second chat from the first unit stresses this difference.
The advent of the one man bus involved more capital equipment: an automatically operated coin box and door control device - to name two of the capital goods that replaced the conductor."
Budweiser, Miller and Coors who together produce 80% of all beer consumed in the US, each spend well over $250 million a year on television advertising campaigns, promoting their beer brands.
Assume that an engineer is deciding either not to move to northern Virginia or remain at his current job in Milwaukee.
Find the velocity given that the market is in equilibrium. MD1 is the relevant curve and it is given that the real GDP is 30,000.
The FCC has hired you as a consultant to design an auction to sell wireless spectrum rights. The FCC indicates that its goal of using auctions to sell these spectrum rights is to generate revenue.
Provide each of the subsiquent price elasticities, determine whether marginal revenue is positive, negative, or zero.
Suppose you want to produce WIDGETS in your country. The international price of an imported WIDGET is $50 and pays an import tariff of $10 per unit. Three inputs are needed to produce a WIDGET.
What types of inefficiencies and/or externalities arise in each renewable resource case that interferes with sustainable and efficient management results?
Consider a monopolist facing demand curve Q = 100 - P. MC=AC=$20. Find out the monopoly price, profits, and consumer surplus.
Illustrate what might a high dividend payout ratio suggest to an analyst about a company's growth prospects.
If your payroll (budget) is increased to $120,000, what should you do to maximize the number of customers served?
Describe a moral hazard problem your company is facing. What is the source of the asymmetric information? Suppose that every driver faces a 1% probability of an automobile accident every year. An accident will, on average, cost each driver $10,00..
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd