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The demand curve for cookies is downward sloping. When the price of cookies is $2, the quantity demanded is 100. If the price rises to $3, what happens to consumer surplus?
a. It falls by less than $100.
b. It falls by more than $100.
c. It rises by less than $100.
d. It rises by more than $100.
You run a correlation matrix between Y variables auto sales in units and two X variables auto prices (X1) and car buyer’s income (X2). As expected auto prices had a high negative correlation to auto sales while buyer’s income had a high positive corr..
Florida Citrus Mutual, an agricultural cooperative association for citrus growers in Florida, needs to predict what will happen to the price and output of Florida oranges under the conditions below. What are your predictions? For each part, sketch a ..
Suppose the authorities are considering either a tradable emission permit system, in which they give half the permits to each firm, or a tax system. If both systems work perfectly, how much will the firms have to pay, in total, for pollution reductio..
q1. options traders appeared to be taking a bullish approach to target.illustrate what does a bullish approach mean?
What should Zelnick and Conroy do. Should BMG integrate. Should they continue to work with a wide array of technology partners.
Illustrate would the gross receipts of strawberry growers be if the crop turned out to be 30,000 cases.
Is the demand for this good price elastic or price inelastic? Justify your classification by talking about the determinants of elasticity as they apply to this product.
Smallville is suffering annual losses of taxable properties and property values of 1% each. Even so, Smallville must maintain its tax collections at a constant value of $3.2 million to maintain services. What is the required rate of increase in the t..
Title IX of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 appears to be driven in part by the Madoff Ponzi scheme. Indeed, af- ter the SEC’s investigations failed to detect the Madoff fraud (see Case 1.12), many sections of Ti..
Determine the effect of expansionary monetary policy in the AS/AD model when the economy.
If you were desinging such an amendment, do you think it would be better to require that the actual budget deficit be kept at zero each year, or should the aim be only to keep the structural deficit at zero? Discuss.
Helen’s preferences over CDs (C) and sandwiches (S) are given by U(S, C) = SC + 10(S + C), with MUC = S + 10 and MUS = C + 10. If the price of a CD is $9 and the price of a sandwich is $3, and Helen can spend a combined total of $30 each day on these..
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