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Question: With higher fuel costs, airlines raised their average fare from 75¢ to $1.25 per passenger kilometre and the number of passenger kilometres decreased from 2.5 million a day to 1.5 million a day.
a. What is the price elasticity of demand for air travel over this price range?
b. Describe the demand for air travel.
Using the point elasticity formula, calculate the price elasticity of demand of pasta at the equilibrium point. Now, assume that the world price of pasta is $60. Calculate the number of units of pasta imports for Pasta Land at this world price
The demand for new motor homes in the US is highly cyclical and sensitive to diesel fuel values and interest rates. Given these characteristics, explain the effect of the following on quantity demanded
Persuade your audience that the use of alternative energy is beneficial and economical, or that the use of alternative energy is expensive and as detrimental as traditional energy sources
The impact of drug legalization on the economy
According to the Keynesian Model, the solution to a recessionary gap or an inflationary gap is the same. Change the level of aggregate demand. True or False. Explain Why?
Compute the effective annual interest rate 10% nominal interest compounded semiannually, 10% nominal interest compounded quarterly, 10% nominal interest compounded weekely.
Find a market price for hydrogen gas and normalize the energy content compared to the current local price of gasoline. Using octane as an approximation for gasoline energy content, compare the cost per kilojoule of energy of hydrogen to gasoline.
Describe verbally what happens to the marginal product of labor as the level of labor usage increases in Sambia. Explain the intuition for this change in the marginal product of labor
This assignment is designed to teach you how to research a company of your choice. You will be performing an analysis of the financial statements of a publicly traded company.
Which of the following statements is CORRECT? a.One advantage of the NPV over the IRR is that NPV takes account of cash flows over a project's full life whereas IRR does not.
If inflation is a major issue in the economy, what would be the correct fiscal policy response from an economic perspective? Why would members of Congress be unlikely to support such actions?
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