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Which of the following is TRUE regarding markets? I) Economists define a market as a geographic location where trade occurs. II) A market enables buyers and sellers to get information about each other and to buy and sell from each other. III) Markets coordinate decisions through prices.
An MBA student has proposed the following demand equation for good Y. QdY = a + b PY + c M where: QdY = quantity demanded of good Y in millions of tons per year PY = Price of good Y in dollars per ton M = Average consumer income in thousands of dolla..
q.price comparison services on the internet as well as shop bots are a popular way for retailers to advertise their
The marginal costs (ci) and marginal benefits (bi) of getting more education can vary across individuals – i.e., heterogeneous costs and benefits. Assume that marginal costs increase with the education level and marginal benefits decline with the edu..
A local phone company has three family plans for its wireless service. Under each of these plans, the family gets two lines (phones) and can make local and long dis- tance (within the United States and Canada) calls for free so long as the total numb..
Draw a supply and demand curve, label X & Y axis and show equilibrium. Show shortage and surplus and why they exist, add ceiling and floor, use examples and describe.
In a fictional city, the city council introduces a new $500 per month tax on one-bedroom rental units. The tax raises the typical monthly rent on one-bedroom units from $950 per month to $1,050 and it lowers the number of one-bedroom units rented out..
For the year 2014 the imaginary nation of Freedonia had a population of 2,800 and real GDP of 16,800,000. In 2015 the imaginary nation of Freedonia had a population of 2,700 and real GDP of 15,390,000. The growth rate of real GDP per person between t..
Explain the argument that lower corporate tax rates can increase tax income in Kenya. Reflect on the Laffer curve in your explanation.
Crowding out in the loanable fund: what does it mean? Please define: stock, bond, dividend, risk free investment. What are the functions of money? What is the difference between fiat money and commodity money?
Delta Software earned $10 million this year. Suppose the growth rate of Delta's profits and the interest rate are both constant and Delta will be in business forever. Determine the value of Delta Software when: AMS recently instituted an in-house rec..
For each situation described here determine the type of unemployment: Steelworkers losing their jobs due to decreased demand for steel. A college graduate waiting to accept a job that allows her to utilize her level of education
If a firm decreases the price of its product and demand for the good is inelastic, its total revenue will decrease. If a firm decreases the price of its product and demand for the good is elastic, its total revenue will decrease. As the price of X fa..
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