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Trevor consumes two goods: fruit (good x) and vegetables (good y). His demand for fruit is given by x(px,m)=.04m-4.24px. His income is $322, the price of fruit is $2, the price of vegetables is $1. If the price of vegetables rises to $3, calculate total change in quantity demanded, the substitution effect, and the income effect. Is fruit a normal or inferior good?
Suppose a candidate who runs on a platform of soak the rich wins the 2012 presidential election. After being elected, he or she persuades Congress to raise the top marginal tax rate on the federal personal income tax to 65%. Use one graph to show the..
Chris raises cows and produces cheese and milk because he enjoys:
Suppose that the supply curve in question 1 above product is given by P=12+(2/3)Q where P is in thousands of dollars per auto and quantity is in millions of cars per year. What other things are held constant when one moves along a supply curve?
q. suppose people in our overlapping generations model have the opportunity either to hold at money with complete
The country in this example is a large exporting country. Initially, the country exports motorbikes at the world price of $96. Motorbike producers lobby heavily and receive an export subsidy. What is the domestic price per bike after subsidy? What is..
Can you offer another reason why the New Jersey dealer might not have wished to follow a no-haggling policy.
Zelda Industries is the only firm of its kind in the world. Due largely to historical accident, it began producing streganomas in 1985 in a vacant warehouse. Virtually anyone with a degree in college chemistry could easily replicate the firm's formul..
q.reflect on the solow growth model by means of technology given by y zfk n k12n12 its savings rate is 0.2 moreover
Construct a choice table for interest rates from 0% to 100%. If the MARR is 10%, which alternative should be selected? Can you please explain how to solve the problem on excel
Illustrate what is equilibrium price of box. Is this long-run equilibrium price. Explain how many firms are in this industry when it is in long-run equilibrium.
Assume 3 firms, A,B, and C, compete for market share via quantity competition. Assume all firms have the same constant marginal costs cA = cB = cC = 1 and that market demand is given by D(p) = 101 minus p. Solve for the unique N.E.
The Food and Drug Administration (FDA) just gave you the approval to sell your new patented drug which reduces the aches and pains associated with doing IO homework. You spent 10 years and $1.5 billion to market this drug under the brand name eazIO. ..
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