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Distinguish between interindustry and intraindustry trade, providing examples of each. Offer possible explanations for interindustry and intraindustry trade.
You have been pondering opening a food cart, as one does in Portland. You will only be open for lunch and expect to charge $6.5 per meal. Food carts usually have a 5X on food costs so you expect to charge five times the food cost. What is the highest..
Suppose that there are two goods, apples and oranges, and two individuals, John and Mike. John has four apples and two oranges, and Mike also has four apples and two oranges. We will call this “point A.” Define what it means for an allocation of good..
Suppose the supply of labor is given by LS = 10w , where LS is the quantity of in millions of persons employed each year, and w is the wage rate in dollars per hour. The demand for labor is given by LD = 80 - 10w. What will be the free-market wage r..
Analyze the current macroeconomic situation and its impact on Walmart and Starbucks. Explore in particular explain how the two companies' respond to the macroeconomic conditions in terms of their.
Assume that student marks are normally distributed. A random sample of 25 students' marks yield a sample mean of 70 and a sample standard deviation of 10. Estimate the population mean of marks with 95% confidence.
Is it practical to assume that people age 55 and older constitute one large consumer market? How can marketers segment this age subculture? What are some important variables to keep in mind when we tailor marketing strategies to older adults?
Think of another good that you have purchased recently (or you could continue with the good you selected in TDA I). Be specific (e.g. is it breakfast cereal in general or Cheerios cereal specifically). If the price of this item increases, how would t..
Suppose that inflation in Australian was expected to equal 6 per cent in 2015, but prices rose by only 3 per cent. How would this unexpectedly low inflation rate help or hurt each of the following?
A profit-maximizing monopolist named Billy faces an inverse demand function described by the equation p(y) = 40 - y and his total costs are c(y) = 7y, where prices and costs are measured in dollars. In the past Billy was not taxed, but now he must pa..
What would be the resulting effect on equilibrium price level? Explain. What will be the effect of the different tools of fiscal policy to stabilize the economy?
Compare the market-wide result of the individual perfectly competitive firms' choices of profit-maximizing output level with the choice of the monopolist. Explain the implications of the break-up for the profitability of industry members, for soci..
The government sets a price floor of $5 in the above market. Is this price control binding? If so, is there a shortage or a surplus and what is its magnitude.
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