Demand elastic- inelastic or unit elastic, Microeconomics

Assignment Help:

Questions

(i)   You are an industry analyst. Last year, the production cost of Microprocessor increased remarkably due to labor unionization. Nevertheless, the industry experienced a sharp increase in total revenue. How do you explain this? The demand did not change. You must use a diagram to answer this question.

(ii)  5% decrease in price caused only 1% increase in total revenue. Is demand elastic, inelastic, or unit elastic? Explain.

(iii)  Suppose one and only one worker is always required to operate one machine, and together they produce 100 units of output. Let's denote the number of worker by L and the number of Machine by K. What is the production function at this firm?

 

 


Related Discussions:- Demand elastic- inelastic or unit elastic

Labor economics, Suppose that Congress increases the minimum wage to $10 an...

Suppose that Congress increases the minimum wage to $10 an hour. a. Use a supply and demand model for unskilled labor to show the effect on the number of unskilled workers employed

Microeconomics supply and demand curve question, I''m having trouble with t...

I''m having trouble with this problem.....I must have missed the class that it was discussed in. I''m more confused with the interpreting the equations with all the Labor demand/La

What are the parts of valuable economics paper, What are the parts of valua...

What are the parts of valuable economics paper? The consequence of economics research is an economic conclusion. Usually a valuable economics paper comprises three parts: a.

Define the price ceiling, Define the price ceiling A price ceiling is a h...

Define the price ceiling A price ceiling is a highest price that sellers can charge for a product.

What are the three major types of unemployment, What are the three major ty...

What are the three major types of unemployment?   a) Frictional b) Structural and c) Cyclical unemployment. Cyclical unemployment is broadly spread by an economy durin

Hw, hi, how much does it cost for you guys to write a 5-6 pages on a articl...

hi, how much does it cost for you guys to write a 5-6 pages on a article on supply and demand? However, on the 5-6 pages it wont all be writings..i need a few graphs. i would need

Graphing, I can''t figure out how to graph the aggregate consumption functi...

I can''t figure out how to graph the aggregate consumption function and the aggregate saving function

#..q20, regression line drawn as Y=c+1075x, when x was 2 and y was 239, giv...

regression line drawn as Y=c+1075x, when x was 2 and y was 239, given that y intercept was 11. calculate the residual

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