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Jennifer has $10 to spend on tomatoes and cheese. The price of a pound of tomatoes is $2 and the price of a pound of cheese is $4. She has found her utility-maximizing bundle at 2 pounds of tomatoes and 1.5 pounds of cheese. Suppose Jennifer's income falls to $8 and the price of tomatoes falls to $1. The price of cheese remains the same. Jennifer is considering a bundle of zero units of tomatoes and 2 units of cheese. What is your advice?
q1. research the current demand for a good or service of your choice. collect information that will affect the demand
The text notes that, if demand reversal were the cause of the Leontief paradox, then labor would be relatively cheap in the United States. Explain the reasoning behind this statement.
1.the approved budget for 1997 reduced government spending in housing and urban development health and human service
Who benefits from a tariff or quota? Who loses? Why would domestic markets benefit from protectionist trade policies? How do protectionist trade policies affect a government’s wealth and fiscal policy?
Suppose you deposit $10,000 in a savings account that earns 8% nominal annual rate for 5 years. The interest will be compounded semi-annually. What are the periodic and the effective annual rates? What is the amount of money in the account at the end..
What do you think about a tax on soda and junk food just like there is "sin" tax on cigarettes and alcohol? Do you think this would work to deter parents and children from consuming so much soda and junk food? How can you use the concept of Elasti..
Assuming that price of labor (L) and capital (K) are 12 and 3, respectively. One manufacturing company is facing production function given as Q = LK. What will be the input combination based on the aforementioned information to minimize the cost? Sup..
A price-weighted index consists of stocks A, B, and C which are priced at $27, $11, and $18 a share, respectively. The current index divisor is 2.24. If stock B undergoes a 1-for-3 reverse stock split, the new index divisor will be:
Caroline has opened a new startup company in web design. Within the first month of business, the startup agrees to maintain an accounting firm’s website in exchange for someone doing their tax returns. Which of the following principles of economic in..
If the face value of a 10% coupon bond is $10,000, what is the yearly coupon payment? If the yield to maturity of the above coupon bond is 8% and has 10 years to maturity, what is the present value of the coupon bond?
You have studied the legislative branch of government and the wide range of powers held by the House of Representatives and the Senate. List five powers or duties of one or both houses of Congress and discuss each of the five, in a few descriptive se..
Four Seasons Hair Salon is the only women's hair stylist in Lake View. A business consultant has estimated its monthly cost functions as follows: TC = 2000 + 80 Q + 0.05 Q 2 MC = 80 + 0.1 Q The firm is faced with the following demand: Qd = 800 - 4 P...
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