Short-run-long-run effects of the chemical spill

Assignment Help Business Economics
Reference no: EM131098867

In 2014 the water supply for a large area near Charleston, WV was polluted by a chemical spill, creating a health hazard, causing residents to spend time and money acquiring bottled water, and resulting in negative press coverage on the quality of life in West Virginia. What might be the short-run and long-run effects of the chemical spill on aggregate supply, aggregate demand, and state GDP?

Reference no: EM131098867

Questions Cloud

The utility maximization rule : What is Marginal Utility? Why does it diminish? Explain verbally and using appropriate math/symbols, the slope of the indifference curve. Write out the equation for and explain the "Consumer Equilibrium Condition", or as it is sometimes labeled, the ..
Price level causes movement along the demand curve : A change in the real one supply can result either from a change in the nominal money supply through Federal Reserve policy (holding the price level conatant) or from a change in the price level (holding the nominal only supply constant). the change i..
Suppose the football market is competitive : Consider the market for footballs. Suppose the demand for footballs is given by F= 50/P − 1. (1) Suppose further that the marginal private cost of producing footballs is $10 per football. Also assume that pollution from the leather tanning process is..
What is the producer surplus in market equilibrium : Suppose U.S. Steel has a steel factory on the Monongahela River in Southwestern PA. Suppose further that steel is sold in a competitive market at a price of $5 per unit. The private marginal cost of steel production is MC(s) = 2 + 0.5s. What is the p..
Short-run-long-run effects of the chemical spill : In 2014 the water supply for a large area near Charleston, WV was polluted by a chemical spill, creating a health hazard, causing residents to spend time and money acquiring bottled water, and resulting in negative press coverage on the quality of li..
Decentralized manufacturing strategy : An electronics firm is considering how best to supply the world market for microprocessors used in consumer and industrial electronic products. A manufacturing plant costs about $500 million to construct and requires a highly skilled workforce. Shoul..
Assumed to be perfectly competitve for modeling purposes : EverKleen Pool Services provides the weekly swimming pool maintenance in Atlanta. Dozens of firms provide this service and the service is very standardized (so the market can be assumed to be perfectly competitve for modeling purposes). At what outpu..
In terms of maximizing total revenue : In terms of maximizing total revenue, defend or counter the decision of the store, Manor, to lower prices on mobile air-conditioning units from 650 CHF to 300 CHF during the hottest week of 2010 (argument should make use of the concept of elasticity)..
Affect the economy-wide supply of labor : How would each of the following factors likely affect the economy-wide supply of labor? Who gains and who loses?

Reviews

Write a Review

Business Economics Questions & Answers

  Consumer confidence is lower than the previous month

Determine what fiscal policy measure has a more direct impact to the economy, an increase in government spending or an equal decrease in taxes if consumer confidence is lower than the previous month. Explain your reasoning.

  What is a stream of historical data known as

What is a stream of historical data known as?

  Determine the capitalized cost for each design

Two incinerators are being considered by a waste management company. Design A has an initial cost of $2,625,000, has annual operating and maintenance costs of $950,000, and requires overhauls every 5 years at a cost of $1,650,000. Using a 8.0 %/year ..

  Affect net exports at any given exchange rate

The rise in the US trade deficit during the 1980s was due largely to the rise in the US budget deficit. On the other hand, the popular press sometimes claims that the increased trade deficit resulted from a decline in the quality of US products relat..

  If the marginal cost of the separate products is high

If the marginal cost of the separate products is high, a seller should consider _______ bundling instead of ________ bundling.

  What is the socially optimal number of firms

What is the socially optimal (first-best) number of firms? Assuming that the market share of each firm when there are N firms is 1/N , what is the free-entry number of firms?

  Considering two alternative plant layouts

You are considering two alternative plant layouts, A1 and A2, to improve its current layout. The cash flows are shown below. The first costs represent the expenses of rearranging the current layout to the alternative new layout and the annual savings..

  How much will the annual payments

A Wartburg engineering student graduates with student loans in the amount of $41400 that have a repayment APR of 7.66%. How much will the annual payments be if they intend to pay off the loans in 14 years?

  Using the simple household model

Using the simple household model C=[C(0)]+[C(1)]*(Y-t), assume that C(0) is $1000, taxes are $100, and C(1) is .5. What would be the impact on consumption spending if household incomes were to rise by $500? (Ignore the multiplier effects here.) What ..

  Consider small country that is an exporter of good

Consider a small country that is an exporter of good X. Suppose the government imposes a tariff on imports of good X. Using one graph, showing demand and supply of good X in the home country, carefully illustrate the effect of a tariff imposed by the..

  About manufacturing location strategy

Both Hyundai and Nissan made their invesrments in the southern Indian city of Chennai. What is the advantage to be had by investing in the same region as rivals? If Hyundai, Nissan, their suppliers, and other automobile enterprises continue to make i..

  Regulating a monopoly

Suppose that a monopolist sells a product to consumers with an aggregate inverse demand that is downward sloping in quantity, P (Q) = 1000 − 4Q. The total cost of producing Q units is C(Q) = Q2. What is the unregulated price-quantity pair? At this eq..

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