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Shortages and surpluses
Describe what happens to a market when Supply and Demand are not in equilibrium. List two instances from your personal experience when you observed the "disequilibria" of supply and demand in a market, and what caused the market to come to equilibrium, if indeed it did.
Make sure you fully describe the economic condition stated in this problem from a theoretical and practical viewpoint. Fully support your statement with references.
Consider a competitive market for which the quantities demanded and supplied (millions per year) at various prices are given as follows:
Explain why fiscal policy will be either more or less effective in an economy with a large foreign sector.
Illustrate what questions would you suggest to the CFO to ask to marketing department and what is your recommendation to the CFO.
Compute the long-run impact of a permanent rise in money supply versus a permanent tax cut.
Illustrate what can you determine about consumer demand for your product from this information
Show the price and output that maximizes profit in this graph. Then use math to calculate the price and output that will maximize the firm's profit. Calculate your profits at this price and output level.
Describe the total shortage associated with the price ceiling. Compute the full economic price. How much is the non-pecuniary price.
Explain how is Brazil affected, explain how does the size of this effect depend on the volume of trade between Brazil and the United States.
Explain how large a sales increase can the company achieve without having to raise funds externally; that is, what is its self-supporting growth rate.
Which of the following is a long-run macroeconomic policy goal? If the CPI was 132.5 at the end of 2003 and 140.2 at the end of 2004, the inflation rate over these two years was
As we know about the own-price elasticity for good x.
Consider the market for fresh produce in Snowland. Fresh produce is produced expensively in hothouses in Snowland.
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