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After doing a course in online trading, Harsh started an online portal for stock trading under the name 'Global investment'. He met his school friend Suresh after a long time in a bank where Suresh had come to open a D-Mat account. Harsh urged Suresh to invest in the forthcoming IPO of a blue-chip company whereas Suresh was inclined to buy existing securities of the other companies to build his investment portfolio. Which kind of capital markets are quoted in the above paragraph? Can you explain 3 differences between both the capital markets?
1. What a cross-price elasticity of -5.50 means.Explain cross elasticity of demand. 2. How is it is used to determine substitute or complementary products?
Why are some producers forced to sell their products at the prevailing market price? High degree of similarity to competitor's products.
Suppose investors and currency speculators expect that a currency will depreciate in about six months. This will cause the currency to begin depreciating now.
Does a monopolistic competitor produce more or less output as compared to an efficient level of production? Explain. What are the benefits and drawbacks of this? Should the government intervene to alter this?
Assume that perfectly competitive firms are employing labor in profit-maximizing amounts. Now suppose that, all else being equal, the market supply of this labor increases. How will the firms respond? How will they know when to stop responding?
How many units of good X will be purchased when Px=4910, determine the inverse demand function for good x.
She can take work at that pay rate whenever she wants. What is Shonda's opportunity cost of going to the show?
To produce these 8,000 specialty pizzas, the company incurred variable costs of $24,000 and a total cost of $40,000.
When ShorTech introduced its Quadrant mobile phone, it had few competitors and set a price of $500 when its marginal cost per unit was $350. The economics consulting firm it hired to estimate the demand elasticity confirmed this was the optimal price..
Last year a very severe ice storm hit the north counties of New York state, and the states of Vermont and Maine. Electric poles were down and no one had power for days. It was reported that the price of kerosene heaters skyrocketed and the number pur..
A local community bus service, the only bus service in the market (i.e. a monopoly), charges $2.00 for a one-way fare for all riders. The city council is thinking of raising the one-way fare to $2.50 for all riders. If the city council increases the ..
Compare Country Alpha with Country Omega. Which country would you expect to have a higher unemployment rate in each of the following situations? Alpha has a larger share of its population under age 25; Omega has a larger share of its population betwe..
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