Copper, Microeconomics

Assignment Help:
Around 2007, the world copper price was $2.00 per pound and 12 million metric tons per year was the quantity transacted. A) Assume copper’s demand elasticity is -.5 and supply elasticity is 1.5. From this information, assuming that copper supply and demand curves are linear (in price), derive their equations. B) Now, in addition, I told you that demand for copper is also linear in income and that copper’s income elasticity is 1.3, would you be able to predict, the impact on equilibrium price for a 1% increase in income? Original income is not needed to answer this question.

Related Discussions:- Copper

Macro ecomomics, explain how macro and micro issues may be represented usin...

explain how macro and micro issues may be represented using production possibility curve

Explain the term fordism, Explain the term Fordism Between approximatel...

Explain the term Fordism Between approximately 1890 and 1930-or perhaps 1890 and 1950-a host of innovative technologies and business practices were adopted in the US. Europeans

Define the adoption of economic institutional arrangement, Define the adopt...

Define the adoption of economic institutional arrangement in analytical frameworks. Adoption of Economic Institutional Arrangement: The third step for studying an economi

Regulating skilled labour, 5 stratgies that can be used to regulate skilled...

5 stratgies that can be used to regulate skilled labour in developing countries

Functions of the adb, Functions of the ADB: ADB finances principally s...

Functions of the ADB: ADB finances principally specific projects in the region. It may make loans to or invest in the projects concerned. It may also guarantee loans granted t

Why elasticity is important for economic analysis, Why elasticity is import...

Why elasticity is important for economic analysis?  Elasticity is a significant concept in understanding the incidence of indirect taxation, marginal concepts as they relate to

What is the price of a call option on stock, Consider an economy with three...

Consider an economy with three states. The following set of stocks is traded:   x 1 =(2,2,0)    x 2 =(1,0,3)  x 3 =(0,2,4). The t=0 prices of these stocks are given as follow

Monopoly, AskPharmaceutical companies can expect to earn large profits from...

AskPharmaceutical companies can expect to earn large profits from blockbuster drugs (for high blood pressure, depression, ulcers, allergies, sexual dysfunction) while under patent

Aggregate demand and supply , using the aggregate demand and supply model (...

using the aggregate demand and supply model (x axis is national output and y axis is price level) if an economy is in a state of disequilibrium where supply is excess of demand u

Explain the monopolistic excess capacity, Theories of Chamberlin’s monopoli...

Theories of Chamberlin’s monopolistic competition and Joan Robinson’s imperfect competition have revealed that a firm under monopolistic competition or imperfect competition in lon

Write Your Message!

Captcha
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