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The equilibrium price for physiotherapy visits is $30 and the quantity utilized is 150 visits as a result of the demand and supply conditions in this diagram. The state legislature is concerned that the current price does not give the physiotherapists enough incentive to produce a high volume of services. A proposal has been made to increase the price paid by the consumers to the suppliers to $40. What will the resulting quantities demanded and supplied and the resulting utilization be?
Let's say, country A and B both consume and produce only food and clothing. Both countries use only labor to create these two products.
You are given the following information about the personal computer (PC) industry: Find the NRP and the ERP. Show all calculations and formulas.
Describe how the budget constraint of a household in a two-period model is affected by each of the following changes. In Each Case, do you think the household is better off, or worse off, or is it ambiguous If ambiguous.
Proponents of trade liberalization which freer trade might actually improve the quality of the environment.
Suppose an economy has the following production function: Y=F(K,L)=K0.4L0.6, Determine the per worker production function.
Can you please provide an example of the market where government has imposed a price ceiling or a price floor and use demand and supply analysis to elucidate the consequence on that market.
This problem uses Okun's law to study how the unemployment and inflation rates change when there are demand shocks. Assume that the relationship between the output ratio and the unemployment rate, U is given by the equation U = 6.0 - 0.5 (output ..
What is the saving function? What is the marginal propensity to save and what is the aggregate expenditure function? What is autonomous expenditure? What is the marginal propensity to withdraw?
Discuss the criteria that might be applied in determining if a court should uphold a state's expropriation order or nationalization of private property. Cite to any international case that is relevant. Is there an" American counterpart" case in th..
What happens to the interest rate if the money supply increases from 20 to 30? Illustrate your answer graphically. What happens to the interest rate if nominal income increases by 10%? If the Federal Reserve Bank wants to increase the interest rate ..
A small business which produces plastic vacuum-suction covers for round household dishes has monopoly that is protected through a utility patent. Market demand curve for this product is estimated to be:
Illustrate what is the price elasticity of supply for your chosen industry.
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