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Explain why government regulation is needed in in the Apple ipad industry stating the major reasons why government involvement in a market economy.
In a practical sense, write your opinions on the effect a rule stating that university students must live in university dormitories would have on the price elasticity of demand for dormitory space.
A long-run supply curve is flatter than a short-run supply curve because firms can enter and exit a market more easily in the long run than in the short run is it true or false.
Distinguish between an 'exact' and a 'not exact' relationship between X and Y.
Suppose Debbie purchases only hamburgers. Assume that her marginal utility is always positive and diminishing. Draw a graph with total utility on the vertical axis and the number of hamburgers on the horizontal axis. Explain how you would determin..
Insurance agents receive a commission on the policies they sell. Many states regulate the rates that can be charged for insurance. Would higher or lower rates increase the incomes of agents Explain, distinguishing between the short run and the lon..
Suppose you manage an agency that provides Meals on Wheels to infirm elderly residents in the county. The agency operates three kitchens. Each kitchen is producing one-third of the total meals every day.
Daily commuter demand is variable, yet stable and known. Demand for sporting events is uncertain, and depends on the quality of the match, as well as on unpredictable events, like the weather. How would you price these two events differently
Suppose economists observe that an increase in government spending of $10 billion raises the total demand for goods and services by $30 billion. 1. If these economists ignore the possibility of crowding out, what would they estimate the marginal p..
Compare the use of open market operations, loans to financial institutions, and changes in reserve requirements to control the money supply on the basis of the following criteria: flexibility, reversibility, effectiveness, and speed of implementat..
Determine the price elasticity of demand at each quantity demanded using the arc or midpoint formula: Percentage change in quantity demanded ¼ (Q 2 Q 1)/Q 1 divided by percentage change in price ¼ (P2 P1)/P1.Redo exercise 1a using price changes o..
How does industry-level price elasticity of demand shape the opportunities for making profit in an industry? How does the firm-level price elasticity of demand shape the opportunities for making profit in an industry?
How do you go about weighing the alternatives? Once you choose a most important use of time, why do you not spend all your time on it? Use the notion of opportunity cost in your answer.
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