User Account

All Pages

Create a shortage of gasoline

Assignment Help Business Economics
Reference no: EM131775919

A price ceiling would create a shortage of gasoline, as you correctly explained. If prices were free to adjust, they would increase, you are right. However, since there is a price ceiling, prices would not be able to increase.

What do you think would happen in such a situation?

Reference no: EM131775919

Questions Cloud

Why do economic costs include both explicit : 1.) Why do economic costs include both explicit (revealed and expressed) costs and implicit (present but not obvious) costs?
Creates and returns a tuple containing details of employee : CE151 - creates and returns a tuple containing details of the employee specified by the string. The string should be assumed to have the format
Cfo is gathering information to forecast the investment need : If the CFO estimates that he can receive an annual yield of 9% on his portfolio, what lump sum amount must he invest today to create the six year payout
Discuss the assumptions implicit in the shortcut : Sometimes engineers use a shortcut method for determining the average process performance. In this shortcut, the average variable value is used.
Create a shortage of gasoline : A price ceiling would create a shortage of gasoline, as you correctly explained. If prices were free to adjust, they would increase, you are right.
Resources from an allocative perspective : How does the growth in the area of providing clean water reflect an effective use of resources from an allocative perspective?
What is equilibrium quantities : The MC (marginal Cost) of Company A equals to $2 and constant. The MC (marginal cost) of Company B equals to $4 and constant.
Many companies have implemented health cost savings ideas : Many companies have implemented health cost savings ideas such as dropping employee spouse coverage adding surcharges for persons who refuse to accept wellness
Determining the blending process : A blending process, shown in Figure Q2.7, mixes component A into a stream. The objective is to maximize the amount of A in the stream without exceeding.

Reviews

Write a Review

Business Economics Questions & Answers

  Given this situation you would describe wine as a

You have come to realize which you are only buying 3 bottles of wine a week now whereas you utilized to buy six bottles of wine when you made $60,000 a yr. Given this situation you would describe wine as a.

  Will the firm realize an economic profit-break even

John operates a small business out of his home and has very little in terms of fixed costs. Answer the next questions (Parts A and B) on the basis of the following cost data for John’s firm operating in pure competition. If the product price is $45 a..

  Credit frictions themselves as source of business cycles

Many papers look at the impact of credit frictions onto business cycles, and they almost unambiguously find that credit frictions work as an amplification mechanism of other shocks. A lot of these models (in the tradition of Kiyotaki and Moore) have ..

  Suspension of international trading and financial activities

Large-scale wars typically bring a suspension of international trading and financial activities. Exchange rates lose much of their relevance under these conditions, but once the war is over governments wishing to fix exchange rates face the problem o..

  What would this do to circular flow of income and spending

Say y store it as cash in a mayonnaise jar in kitchen cabinet. What would this do to circular flow of income and spending. How would businesses react to household hoarding.

  Determining the real exchange rate

Now suppose, instead, that between last year and this year, the pound depreciated by 25% against the euro and Germany experienced a 30% increase in its price level (a 30% increasein the number of euros required to purchase one unit of German outpu..

  Make household better off by consuming less education

Explain how, despite being free, public education can actually make a household better off by consuming less education?

  What is the before tax consumer and producer surplus

Suppose the current equilibrium price of a quarter-pound hamburger is $5 and 10 million quarter-pound hamburgers are sold per month. After the federal government imposes a tax of $.50 per hamburger, the equilibrium price of hamburgers rises to $5.20 ..

  Use the aggregate demand and aggregate supply model

Some economists argue that it is easier to resolve demand-pull inflation than it is cost-push inflation. Use the aggregate demand and aggregate supply model to explain this assertion.

  Balance sheet of brinker international

Why might the economic value of the inventories differ from the value recorded on the balance sheet of Brinker International?

  Assume all employees are paid the same wage

Assume all employees are paid the same wage. A decreasing marginal product of labor, while still a positive number, tells us that marginal cost must be increasing. A watch manufacturer finds that at 1,000 units of output, its marginal costs are below..

  Considering purchasing season ticket to symphony orchestra

If you were considering purchasing a season ticket to the symphony orchestra, which level of Maslow's Hierarchy of Needs are you trying to fulfill?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd