Explain why in case of a price rise consumers

Assignment Help Macroeconomics
Reference no: EM131211603

Explain why in case of a price rise consumers would shift to a substitute whose price is lower.

Reference no: EM131211603

Questions Cloud

Who is the most effective communicator you have known : Who is the most effective communicator you have known? Was it a teacher, coach, supervisor, friend, or family member?- what makes (or made) this person such a good communicator?
Construct incremental analysis : Suppose you need to decide whether to keep a machine or replace it with a new one: Assume both machines produce similar good with similar value that yields similar revenue. Consider income tax of 38% and minimum rate of return 10%. Construct incremen..
Derive an expression for the variance of the loop phrase : Show that the probability density function of the phase error is Gaussian and that the variance of the phase error is inversely proportional to the SNR at the loop input.
Effect of consumer expectation : Describe the effect of consumer expectation of a future price fall on the demand of a commodity.
Explain why in case of a price rise consumers : Explain why in case of a price rise consumers would shift to a substitute whose price is lower.
Calculate the yield to maturity of the bonds today : Calculate the yield to maturity of these bonds today. If these bonds are now called, what is the actual yield to call for the investors who originally purchased them?
Explain how skills help in your current career : Explain how each skill might help you in your current career or in the career you intend to pursue, and provide specific examples.
Compute the signal-to quantizing-noise power ratio : The message signal on the input to an ADC is a sinusoid of 25 V peak to peak. Compute the signal-to quantizing-noise power ratio as a function of the word length of the ADC. State any assumptions you make.
What is a financial system : What is a financial system, and why would a country with a well-developed and fully functional financial system be better off than a country without it?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd