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A price ceiling
Need help with this Exercise
1. Suppose the government imposed a minimum price of $7 in the schedule of exercise 3. What would occur? Illustrate.
2. In exercise 3, indicate what the price would have to be to represent an effective price ceiling. Point out the surplus or shortage that results. Illustrate a price floor and provide an example of a price floor.
3. Evaluate the following statement: â??The demand for U.S. oranges has increased because the quantity of U.S. an orange demanded in Japan has risen.â?
Elucidate the relationship among the ratio of marginal utility and the price of each good consumed in consumer equilibrium.
Calculate total factor productivity growth (our measure of technological progress) for each country using the growth accounting framework discussed in class.
Do you think we, as customers will be more price sensitive also price conscious. What do you think this means for luxury goods.
Additionally, several other configurations were also estimated. The results are shown on the following pages. Based on this data, answer the following questions. Comment on the significance of time trend and seasonality.
Given the price elasticity of demand for two products & marginal cost, determine the optimal markups and prices under third-degree price discrimination.
Provide an update on the economy-where is unemployment, what is the outlook for the deficit, what are the overall predictions for 2010 - 2012?
Suppose Acme decides that instead of cutting the wholesale price of the CD players it will offer a $50 rebate to the consumer (that is, the wholesale price is $200.
Illustrtae what should the arbitrageur do. Suppose that the cost of storing gold is zero and that gold provides no income.
Suppose that there is an "inflation scare," that is, suppose market participants increase their expectations of future inflation.
the knowledge you have collected in this course on monetary and fiscal policy actions, critically describe the transmission process.
Illustrate what does this tell you about the observability and accuracy of real interest rates compared to nominal interest rates.
Auger busy in a promotional campaign costing $60 million this year, its annual after-tax cash flow over the next five years will be.
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