What the factors exerting influence on price elasticities

Assignment Help Macroeconomics
Reference no: EM13831172

Elasticity shows the responsiveness of supply or demand to changes in price. What are the factors exerting influence on price elasticities of supply and demand?

In the economic recession, rising health insurance premiums are financially hurting the families.

Why is health insurance becoming too expensive for many families? Do you have an Inelastic Demand for your current health insurance plan? Why? Why Not? Are you in favor of the President Obama's public health care plan? Why? Why Not? Are you having an Elastic Demand for a dental insurance? Why? Why Not? Look at this also from the supplier's point of view. Why do some dentists charge less for teeth whitening? If a dentist faces an Elastic Demand, should he raise or reduce the treatment fee to boost his revenue?

Reference no: EM13831172

Questions Cloud

Relationships between price and quantity in supply : Supply and demand show the relationships between two main variables, price and quantity. How are they depicted in demand, and in supply? What other factors impact the relationships between price and quantity in supply and demand? Which factors are..
Substitution effect and income effect when price of good : Comment about substitution effect and income effect when price of good one alone decreases if the goods are perfect substitutes.
Eliminate scarcity as an economic problem : Which of the following would eliminate scarcity as an economic problem?  Moderation of people’s competitive instincts. Discovery of large new energy reserves. Resumption of steady productivity growth. None of the above because scarcity cannot be elim..
Individual abilities and linguistic-social : Each child approaches, interacts, and processes their world in unique ways. Effective assessment takes this uniqueness into account through sensitivity to individual abilities and linguistic, social, and cultural differences.
What the factors exerting influence on price elasticities : Elasticity shows the responsiveness of supply or demand to changes in price. What are the factors exerting influence on price elasticities of supply and demand
Demand function has been estimated for machines : The following demand function has been estimated for Fantasy Pinball machines: Qd = 3500- 40P + 17.5Px + 670U + 0.0090A + 6500N. Where P = monthly rental price of fantasy pinball machines, Px = Monthly rental price of old Chicago pinball machines. Th..
Significant use of extended monologues : In Hamlet, Shakespeare makes significant use of extended monologues, or soliloquies, to express the thoughts and feelings of Hamlet in dramatic form. For this assessment, write an essay in which you explore the use of this technique in three disti..
Computers ensure public knowledge is instantly embodied : High-frequency trading involves scanning the latest news and stock quotes with high-tech computers and using the information to trade stocks very quickly. Because it is highly automated, it happens a thousand times faster than an eye can blink. Compu..
Backward bending price consumption curve : Prove that giffen goods have a positively sloped demand curve and a backward bending price consumption curve.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Derive the golden rule savings rate for economy

Derive the golden rule savings rate for this economy.  (Hint it will be 35 percent)  What would be the new level of steady state y, c, s, k if the economy moved to the golden rule savings rate?

  Should the government subsidize alternative fuel options

Dicuss should the government subsidize alternative fuel options given all you have learned about the growth? Give special thought to following two statements;

  A farmer grows a bushel of wheat amp sells it to a miller

a farmer grows a bushel of wheat amp sells it to a miller for rs. 1.00. the miller turns the wheat into flour amp then

  Ongoing demand pull and ongoing cost push inflation

Distinguish between ongoing demand pull and ongoing cost push inflation. Carefully draw them.  Why might it be difficult to establish the extent to which a given rate of inflation is either demand pull or cost push?

  What is the nominal annual interest rate

A student bought a $75 used guitar and agreed to pa for it with a single $85 payment at the end of 6 months Assuming semiannual (every 6 months) compounding, what is the nominal annual interest rate? What is the effective interest rate?

  Calculate the arc elasticity of demand

Redraw the Demand curve (only) in a new diagram. Demonstrate the Total Revenue change geometrically and indicate the Loss and Gain areas between the prices of $6 and $2 (Price has moved UP from $2 to $6).

  Determine whether daniel makes better or worse grades

Daniel is a diligent student who loves getting A's. But he also loves watching movies. Daniel is awake for 100 hours each week, and studying and watching movies are his only two activities. Daniel must study for 20 hours per week for each A he ear..

  Calculate the change in the level of real gdp demanded

Assume that government purchases decrease by $10 billion, with other factors held constant, including the price level. Calculate the change in the level of real GDP demanded for each of the following values of the MPC

  Supply or demand analysis and pollution permits

The Bureau of Labor Statistics reported that in December 2002, total labor force was 142,542,000 of a possible 214,967,000 working age adults.

  What is the equilibrium level of aggregate output

Assuming no government sector, if planned investment spending is 200, what is the equilibrium level of aggregate output? Show this equilibrium level on the graph you have drawn.

  What will be the level of output and price in the long run

What will be the level of output and price in the long run if this industry were perfectly competitive?

  Top management team of an american multinational

Suppose you are an executive director of the top management team of an American multinational.

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd