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The purpose of the is assessment is to analyze a scenario based on how inflation tends to increase prices and diminishes the consumers’ ability to purchase goods and services over time. Assessment Description: Every time a Hollywood moviemaker has a major box office success, the entertainment media compares the new film’s sales against those of past movies. These media reports usually put movies such as Titanic (1997), The Dark Knight (2008), and Avatar (2009) at the top of the list. The problem with such media comparisons is that they fail to differentiate between films’ nominal and real ticket sales. When all past films’ ticket sales are expressed in terms of the real purchasing power of the dollar, rankings of top - selling movies change dramatically. When sales are adjusted for the real purchasing power of the dollar, the top movies include Gone with the Wind (1939), The Sound of Music (1965), and Star Wars (1977). Does the fact that the dollar price paid to view a typical film today is much higher than the price paid to view a movie in 1939 mean that more real purchasing power is required to see a movie today than in 1939? Explain with respect to the real purchasing power and purchasing power parity
Adam Smith favours a policy of laissez faire in managing economic activities. Why? Economics deals with the efficient use of resources? Why? Marginal analysis tends to produce more optimal outcomes when working with scarce resources. How?
Explain the unemployment rate in Tappania is higher now than it has been in 50 years. Can both of these statements be true at the same time.
Elucidate exactly Illustrate what the government actually did and why this merger is not occurring.
what is the payoff in the first period for Firm 2 if. instead of cooperating, it maximizes its single period profits? Will Firm 2 choose to cooperate in the repeated Cournot game?
The difference between the cost to produce the CDs and the price you paid for them spending $30 on two new CDs spending $30 on dinner and a movie with your friends.
Discuss the major causes of global warming, the expected effects providing an indication of which effects are likely to be the most important economically, and identify the greatest uncertainties surrounding global warming.
Calculate the cost elasticity of demand as well as for paint as well as show your calculations.
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?
Consider the following goods and services. Which are the most likely to be produced in a perfectly competitive industry? Which are not? Explain why you made the choices you did, relating your answer to the assumptions of the model of perfect competit..
Explain what you think causes the economy to go into a recession. Be sure to reference the theory/school of thought you are basing your response.
Select a market for a product or service, then identify at least one critical determinant of demand or supply in that selected market and forecast a reasonable future change in the determinant. Explain the changes in equilibrium price and quantity yo..
A profit maximizing monopolist is earning a positive economic profit. The wage it pays its workers rises. How will the firm's choice of price and quantity change in response to the wage increase? Assume that the monopolist is still earning a positive..
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