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Suppose you are a painter and the price of a gallon of paint increases from $3.00 a gallon to $3.50 a gallon. Your usage of paint drops from 35gallons a month to 20 gallons a month. Perform them following: Compute the price elasticity of demand for paint and show your calculations.
Assuming no change in hours of work, if real output per hour of work increases by 10 percent, what will be the new levels of real GDP in the right column of A Does the new data reflect an increase in aggregate supply or does it indicate a decrease..
Describe the economic and political economy aspects of the globalization debate. Why has globalization created so much controversy.
Before 2005, economists estimated the cross-price elasticity between fruits and vegetables to be +1.5. Since the introduction in 2005 of the "New Food Pyramid", the revised estimate of the cross-price elasticity between fruits and vegetables is no..
What is the appropriate balance between private and public (i.e., government) activity Think of a case where the government has intervened (or it was suggested that government intervene) in a previously private market
Illustrate and explain the interaction of households, businesses, government and global markets in the circular flow of economic activity.
The historical returns on a balanced portfolio have had an average return of 12% and a standard deviation of 18%. Assume that returns on this portfolio follow a normal distribution. Use the empirical rule to answer the following questions. What p..
You are the manager of a firm that manufacturers front and rear windshields for the automobile industry. Due to economies of scale in the industry
Utilizing Edgeworth box diagrams for a society of two people, explain why societies that promote market exchange are likely to be more efficient. Are they also likely to be more equitable.
Describe the maximum insurance premium that the individual is prepared to pay.
say that c 15 0.8y i 4 g 1. let us say that the government promotes thriftiness by giving a tax break to people who
Fully discuss the method by which the Federal Reserve uses the banking system to create new money.
Consider the table below the supply schedules for three competitive firms, each producing honey. These three firms make up the overall industry-Calculate the total industry supply at each price and fill in the table.
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