Proposal, Microeconomics

Assignment Help:
#quesSuppose that two anti-marijuana proposals are currently being debated in Congress. Proposal I will reduce the supply of marijuana and cause its price to rise by 7%. Proposal II will reduce the tax on beer and cause its price to fall by 5%. Based on recent estimates, the price elasticity of demand for marijuana is 1.10 and the cross-price elasticity of demand between marijuana and beer is 1.30. If the only objective of the anti-marijuana proposals is to reduce marijuana consumption by the greatest amount, which proposal would you recommend and by how much will it reduce consumption? tion..

Related Discussions:- Proposal

Quizzes, I need someone to do my quizzes it has 24 questions each. There ar...

I need someone to do my quizzes it has 24 questions each. There are a total of 11 quizzes

Different pricing strategies of firms under oligopoly, Problem : (a) W...

Problem : (a) With reference to the characteristics of market structure, explain why the market for powdered milk in Mauritius is an appropriate example of monopolistic compet

Concept of efficiency, The Concept of Efficiency is stated below: To il...

The Concept of Efficiency is stated below: To illustrate this concept of the efficiency, it is used to expand the understanding of what is meant by the Pareto-efficient allocat

Market, describe engineering cost theory in detail

describe engineering cost theory in detail

Sales revenue maximization model , What are the major differences between t...

What are the major differences between the equilibrium of profit maximiser and sales revenue maximiser?

Egyptian Labor Market.., How to use Demand and Supply tools to analyze the ...

How to use Demand and Supply tools to analyze the case of the Egyptian labor market?

Economic models, what is the use of models in economics?

what is the use of models in economics?

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