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Explain why the price of gas has changed. Identify some of the market factors that led to the price increase. Consider the determinants(supply or demand) that affect it. What is the impact on the market equilibrium as a result (due to a shift)? Give a detailed explanation for your answer.
A drought in Nova Scotia reduces the apple harvest, what happens to consumer surplus in the market for apples? What happens to consumer surplus in the market for apple juice? illustrate your answers with diagrams.
In Japan, potential GDP is 600 trillion yen (¥) and the table below shows Japan’s aggregate demand and short-run aggregate supply schedule. Draw a graph of the aggregate demand curve and the short-run aggregate supply curve. What is the short-run equ..
There are ultra-conservative politicians who believe that the Federal Reserve System should be eliminated. Based on the material covered in class (macroeconomics), do you agree or disagree? Explain, in your own words, and be specific.
Your company seeks to take over Good Deal Company. Companies offer for Good Deal is for $3 million in cash upon signing the agreement followed by 10 annual payments of $300,000 starting one year after the agreement. The time value of money is 10%. Wh..
assume an urban clusters income i is given by the function i4n-0.05n2 where n denotes the clusters population in
The Paradise Shoes Company has estimated its weekly TVC function from data collected over the past several months, as TVC = 3450 + 20Q + 0.008Q2 where TVC represents the total variable cost and Q represents pairs of shoes produced per week. Describe ..
Suppose Jilbo can make 18 flower pots or 2 coffee mugs per day. Her cousin Jimbo can make 10 flower pots or 6 coffee mugs per day. What is the opportunity cost for Jimbo of producing 1 flower pot? or 10 flower pots? Who has the comparative advantage ..
Suppose the own price elasticity of market demand for retail gasoline is -0.6, the Rothschild index is 0.4, and a typical gasoline retailer enjoys sales of $1,800,000 annually. What is the price elasticity of demand for a representative gasoline reta..
In December 2015 the FOMC decided to raise the target range for the federal funds rate. Suppose that an increase in the federal funds rate has the effect of decreasing aggregate demand. show the potential effects of a decline in aggregate demand in a..
The vast majority of consumers have a relatively inflexible leisure budget. If sports team moves to town, the money one spend taking a family to a game typically is money that is not spent at a local bowling alley, golf course, restaurant or theatre...
What is the capitalist, free enterprise ideal? U.S, Japan, European companies are usually the first to design, invent and innovate products. What happens toward the end of these new products international life cycles? What must happen to the economie..
Calculate the yield to maturity for each bond. Calculate the expected annualized compound rate of return over the five years for each bond. Which bond offers the higher expected compound rate of return?
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