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Important information about income and consumption relationship
1. Discuss the income and consumption relationship make sure to define marginal propensity to consume. If you received an extra dollar, how much of it would you spend?
2. Why is the aggregate demand curve downward sloping? Specify how your explanation differs from the explanation for the downward sloping demand curve for a single product.
3. Explain: "Unemployment can be caused by a decrease of aggregate demand or a decrease of aggregate supply." In each case, specify price level outcomes
Use the demand curve to help you calculate the number of DVDs rented per month and the amount of consumer surplus derived at a rental price of $5.
Calculate the book price and quantity effects of the local 8% sales tax. With perfectly elastic demand, who pays the economic burden of such a tax?
My scenario is where I am going to open restaurants in China. One in Shanghai & one Beijing.
The marketplace structure of Starbucks is a monopolistic competition. In the coffee industry, many producers and consumers exist, the goods and services are mixed.
Explain the influence that transferable property rights versus non-transferable property rights, has on individual decision making.
Assume the population over age. Elucidate what would be the measured unemployment rate.
Calculate the cash flows at the end of each trading day and compute your total profit or loss at the end of the trading period.
Assume that the graph on the next page illustrates the marginal, average variable and average total cost curves of a typical coffee grower-Assume that the current market price at the wholesale level is $5 per pound. How much coffee will this typica..
Also address the impact of real GDP, the unemployment rate, and the inflation rate as measured by the consumer price index (CPI).
Suppose which major function of profit is to allocate resources according to consumer preferences
Engineers at national research laboratory built a prototype automobile which could be driven 180 miles on single gallon of unleaded gasoline. They estimated that in the mass production the care would cost 40k for each unit to build.
Suppose that a less developed country known as LDC encourages direct foreign investment
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