Use of the understanding of demand

Assignment Help Microeconomics
Reference no: EM13197592

Indicate how an understanding of demand and of elasticity of demand is useful in analysing the following statement. 

“If total consumer expenditure remains the same after a new tax is imposed on cigarettes then spending on cigarettes will decrease and spending on other goods will increase.”

Reference no: EM13197592

Questions Cloud

Define equal opportunity in education : Equal Opportunity in Education 1) Write an essay of 1000-1250 words in which you address the history of equal opportunity in education. Answer the following questions:
Express the construction cost of the box as a function : Express the construction cost of the box as a function of the length of its base.
Define sales promotion techniques : Write a 700- to 1,050-word paper summarizing the key sales promotion techniques that marketing firms direct toward trade and consumers. Include real-world examples to describe the following classifications of sales promotion techniques:
What is the rate of the current : A motorboat travels 455 km in 7 hours going upstream and 963 km in 9 hours going downstream. What is the rate of the boat in still water and what is the rate of the current?
Use of the understanding of demand : If total consumer expenditure remains the same after a new tax is imposed on cigarettes then spending on cigarettes will decrease and spending on other goods will increase.
Is platos view of knowledge more closely aligned : Heraclitus concluded that everything is "becoming", or that everything is in a state of flux. Parmenides concluded reality is Being, one thing which is motionless, eternal etc. Compare their conclusions with the ideas of Plato in the divided line ..
Find the component form of the velocity of the plane : Find the component form of the velocity of the plane.
Why does the significance level differ among industries : Why does the significance level differ among industries? Is the null hypothesis more likely to be rejected at α = 0.01 than α = 0.10? As the significance level increases to α = 0.10 from α = 0.01, which type error is more likely to occur?
Define ethnic dining : Ethnic Dining . Now that you have enjoyed (I hope) your dining experience, create a thread to share it with other class members.

Reviews

Write a Review

Microeconomics Questions & Answers

  The free rider problem

Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.

  Failure of the super committee is good thing for economy

Some commentators have argued that the failure of the “Super committee” is good thing for the economy?  Do you agree?

  Case study analysis about optimum resource allocation

Case study analysis about optimum resource allocation: -  Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..

  Fixed cost and vairiable cost

Questions:  :   Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

  Problem - total cost, average cost, marginal cost

Problem - Total Cost, Average Cost, Marginal Cost: -  Complete the following table of costs for a firm.  (Note: enter the figures in the  MC   column  between  outputs of  0 and 1, 1 and 2, 2 and 3, etc.)

  Oligopoly and demand curve problem

Problem based on Oligopoly and demand curve,  Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?

  Impact of external costs on resource allocation

Explain the impact of external costs and external benefits on resource allocation;  Why are public goods not produced in sufficient quantities by private markets?  Which of the following are examples of public goods (or services)? Delete the incorrec..

  Shifts in demand and movements along the demand curve

Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..

  Article review question

Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:

  Long-term growth, international trade & globalization

Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..

  European monetary union (emu) in crisis

"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"

  Development game “settlers of catan”

Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"

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