Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q1. General Equiliubrium-Pure Exchange Economy
Suppose A and B live in an exchange economy with two goods x1 and x2. Aowns 50 of both goods, and B own 250 of both goods.A's tastes are captured by the utility functionuA(x1,x2) = x2 + 50lnx1 and B's are captured by the utility functionuB(x1,x2) = x2 + 100lnx1.
a. Let the competitive equilibrium prices be p1 and p2 respectively.Derive both consumers' demand functions for both goods.
b. Find the relationship between p1 and p2 in equilbirum. How muchof each good will each consumer choose?
c. Suppose the government transfers 100 units of B's good 1endowment to A. How will the consumers' choices of good 1 in competitiveequilibrium change? Explain. (You should answer without repeating the utilitymaximization calculations.)
Assume that a grower of flower bulbs sells its annual output of bulbs to an Internet retailer for $80,000. The retailer, in turn, brings in $125,000 from selling the bulbs directly to final customers. What amount would these two transactions added..
katie likes sushis and soy milkm.her in difference curves are bowed in and towardthe origin and do not intersect the
what is the price level in 2010?b) what was the real GDP in 2011c) what was the velocity of circulation in 2011?d) what was the quantity of money in 2011?
Picabo borrows $1000. To repay the amount, she makes 12 equal monthly payments of $90.30. Determine the effective monthly interest rate, the nominal annual interest rate, and the effective annual interest rate
The university is selling bonds to cover the cost of a new power plant for UAF. The face value on the bonds is $100 million and is to be repaid in 10 years with coupons paid annually. There is a 15% chance the effective interest rate will be 5%, 2..
Suppose Alex's utility function for tops (x) and candy (z) is: U(x,z)= x¾ z¼ . Suppose this year she has income of 1,000 to spend on these two goods. The price of a unit of x is $25 and the price of a unit of z is $5. Her marginal utility of x is ..
there are 20 million households in country x and 4 million of them are below the poverty line. what is the poverty
Determine the reaction function for each firm. Firm 1: Q1 = - Q2, Firm 2: Q2 = - Q1 b. Calculate each firm's equilibrium output. c. Calculate the equilibrium market price. d. Calculate the profit each firm earns in equilibrium.
a firm that produces its output in asia and sells it in the united states has one plant in country 1 and another in
Carbon Tax/Emission Trading scheme - Compare Australia with one of these countries or group of countries like Europe, USA and China/India and discuss the similarities or differences in ETS and its affect on the economy.
work will be evaluated for the clarity of the structure, the logic in the development of your argument, and the thoroughness with which you discuss the important point
What is the annual equivalent value of a geometrically increasing series of payments which has first-year base of $10,000 increasing by 12% per year for 10 years with an interest rate of 6% compounded monthly
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd