How responsive do you think consumers will be

Assignment Help Microeconomics
Reference no: EM132439900

Questions: Gas prices fluctuate often and in both directions. In your initial post, respond to the following:

1. How responsive do you think consumers will be to the price change when these fluctuations occur due to changes in supply? Why? Use the various determinants of elasticity to explain your answer.

2. How does the price of elasticity of demand for gasoline impact the effectiveness of taxes on gasoline aimed at correcting a negative externality?

3. Consider incorporating the supply-and-demand model to demonstrate the elasticity of demand for gas and to show the effects of tax on the market for gas.

Reference no: EM132439900

Questions Cloud

Different networks with different security levels : A typical DMZ is a network virtualization schema when a particular network connects to at least two different networks with different security levels.
Discuss authors are optimistic about the opportunities : "What Do We Do Now?" do you think the authors are optimistic about the opportunities that exist for gaining self-knowledge? demonstrates
HC1031 Managing people and Organisations Assignment : HC1031 Managing people and Organisations Assignment Help and Solution, Holmes Institute - Assessment Writing Service - Identify an appropriate organisation
Analyzing and visualizing data : Discuss why Kirk (2016) states it will impact your critical thinking and shape your ambitions: Constraints: pressures, rules. Deliverables: quantity, format.
How responsive do you think consumers will be : How responsive do you think consumers will be to the price change when these fluctuations occur due to changes in supply? Why? Use the various determinants.
Discuss the human resources manager at industries : Discuss Human Resources Manager at XYZ Industries, Inc., it is your pleasure to announce the addition of annual performance-based bonuses for mid-level managers
What are some key fixed and variable costs for the business : What are some key fixed and variable costs for this business? Remember, fixed costs do not change when output changes. That is, fixed costs remain.
Review articles about bank failures and bank diversification : Review the two articles about bank failures and bank diversification that are found below this. Economic history assures us that the health.
What is the specific topic of each article : Then you must explain in detail what is the specific topic of each article, what research information was used, the findings and the conclusions of each article

Reviews

Write a Review

Microeconomics Questions & Answers

  Draw short run firm and industry competitive equilibrium

Draw short run firm and industry competitive equilibrium for a perfectly competitive gator-farming industry before the number of alligator farms in Florida doubled. For simplicity, assume the gator farm is earning zero economic profit.

  Leading a team-based organization

Leading a team-based organization.

  Why should companies value diversity now

Why should companies value diversity now? What are the benefits? What are the characteristics that make us different? Should these diverse characteristics be embraced in the workplace? If so, why or why not?

  How much will taxes have to be changed

1. Suppose that government policymakers decide that they will change taxes to raise aggregate output by $400 billion, and mpc=0.5. By how much will taxes have to be changed?

  What are some stereotypes of the country

Smit discusses two cultural dimensions: 1) Power Distance or Hierarchy; and 2) Uncertainty Avoidance. Explain these terms and explain where the country you plan

  Determine present worth of savings due to reconfiguration

Costs associated with the manufacture of miniature high-sensitivity piezoresistive pressure transducers .-is, exist73, 000 per year.

  What output will maximize total revenue

A monopoly faces the following TR and TC schedules: TR = 300q - 2q2.

  Develop a strategic plan focusing on the smoking areas

Sunnydale has commissioned you to help develop a strategic plan focusing on the Smoking areas of Sunnydale Care's field of expertise.

  What happens to the mc per paper

You are a newspaper publisher. You are in the middle of a one-year rental contract for your factory that requires you to pay $700,000 per month.

  Maximise profit for monopoly

how many units should be produced by plant 1 and plant 2 to maximise profit for this monopoly

  How much of the above contract will bob purchase

What does it mean to say that an insurance contract is actuarially fair? Is the above contract actuarially fair - How much of the above contract will Bob purchase (i.e. what is the optimal level of t from his perspective)?

  High profits of wal-mart

"Wal-Mart is a low-wage firm and this indicates that it exploits its workers." Which of the following should cause one to question the validity of this statement?

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