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Suppose a local bank increases the fees they charge for their bank accounts by 20 percent. In response, the demand for their bank accounts decreases from 50,000 to 45,000. What is price elasticity of demand for this bank's accounts? Using the midpoint formula, the price of elasticity of demand is _______?
In May 2010, the Reed Job Index reported that demand for new workers was growing, but wage and salary on offer of new jobs was declining. Economists argued this was strong evidence that the economy had entered the recovery phase of the business cycle..
Explain whether increases in gasoline taxes are effective means for raising tax revenue. Circa 1990 Colorado decided that long-haul truckers needed to pay for a larger proportion of the wear and tear on the state's highways and increased the tax on d..
Your company is bidding on a system design project. It is your job to design the system architecture. How will you balance the need for scalability against the need to keep costs as low as possible to win the bid?
A key difference between supplies and components is that: Many customers will drive long distances to purchase Yummy Town doughnuts, even though other doughnuts are available for purchase at nearby locations. For such customers, Yummy Town doughnuts ..
According to Jared Diamond, what are the “roots of inequality” in the division of the world into ‘haves’ and ‘have-nots? What role has “the roots of inequality” played in the division of the world into ‘haves’ and ‘have-nots’ within today’s globaliza..
Why does the government have to regulate the pollution that is put into the environment? What type of externality is pollution and why is society not able to bring about equilibrium in markets?
If one is preparing a contingent valuation study, what are the sources of bias that one migh encounter? If an unemployed person were hired to work on a public project. An accountant would include all his wages in an estimate of the project’s cost to ..
Suppose the short-run Phillips Curve shifts from SRPC1 to SRPC3. At a 5% inflation rate, will the unemployment rate increase or decrease? By how much?
Do you think it is a good idea for the Russian government to take the measure of encouraging foreign carmakers to build factories in Russia.
When traveling to other countries for business, it is important to know the male/female roles in each country. Not knowing these roles could cause problems in discussions and negotiations.
Which of the following is NOT an example of consumer behavior consistent with the standard assumptions of microeconomic theory?
Suppose your nominal income in 1995 was $24,000. Suppose, too, that the Consumer Price Index for 2012 was 2.5 and that the base year for this index was 1995. How much nominal income would you need in 2012 in order to match the spending power of your ..
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