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Demand & Supply

Equilibrium Price

Suppose the market demand data for the product are as follows: Price Total Quantity Demanded $26 17,000 32 15,000 38

Changes in Market

5. How would each of the following changes affect the market for sugar? (I think these are Supply and Demand graphs) a. Development of a new zero-calorie sweetener. b. An increase in the demand for milk. c. A cut in the wages of farm workers.

Personal Video Recorders

Demand for advertising is given by: Qd = 30 - 0.0002P + 26V Qd = quantity demanded P = price per minute V = number of viewers All costs are fixed and the goal is to maximize total revenue. Suppose that the number of viewers is 1 million. What price should you charge? How many minutes of advertising to sell? Wha

Supply & Demand help

Consider a service that you buy frequently. (Can use pedicure 2 times per month at $50 for graph and calculation) a. Suppose that the price was 5% lower and all other factors do not change. How much more would you buy each year? b. Using this information, calculate the own-price elasticity of your demand.

Economics/Pricing at Snow City Ski Resort

Q2: The Snow City Ski Resort cater to both out of town and local skiers. The demand for each market segment as well as the combined market is given in the attached table. The marginal cost servicing either type of skier is constant at $10. There are no fixed costs. a. If the resort charges one price to all skiers, what price

Draw a diagram or diagrams to show what will happen in the short and long run

Recently, cellular telephones have become very popular. at the same time new technology has made them less expensive to produce. By assuming the technology advance caused cost curves to shift downwards at the same time that demands was shifting to the right, draw a diagram or diagrams to show what will happen in the short and in

Maximize profit

To raise money for a group, we are selling women's shirts. total demand for women's shirts comes from two groups: students and working professionals. The demand curves for two groups are represented as: 1. Students: Qs=120-10Ps (Q sub s=120-10P sub s) 2. working professionals: Qw=48-2Pw a. We may consider buying from ven

Third Degree Price Discrimination & Maximizing Profits

A U.S. pharmaceutical company holds a patent on a drug in the U.S. and an analogous patent in Canada. Its marketing department has identified the following inverse demand curves for this drug in the U.S. and Canada: P us =1,000 - Qdus and P can =500 - Qdcan The marginal revenues for each market is

IS LM curves

Difficulty identifying formulas for use. also, do multipliers and autonomous spending have to be calculated for item 1/IS curve? For the last item, does autonomous consumption and investment have to be computed to derive? Assume following (equations) summarize/represent structure of economy. If: C=Ca + 0.75(Y-T) Ca=800-25

Opportunity Cost and Demand Problems

1. Consider the choices of two groups of women ages 30 to 50. All the women in one group have a college education. All the women in the other group have less than a high school education. Which of the two groups will participate more in the workforce? Which of the two groups will bear a larger number of children on average?

supply and demand shifts

Speedy delivery is a package carrier which serves the Midwest It specializes in the delivery of auto parts to independent auto repair shops. It competes against very large firms like FedEx, UPS, and US Postal. The demand for the firm's services has been increasing as more consumers keep their cars longer and have them fixed r

The Equilibrium Quantity Supply and Demand

(Be sure to use a supply and demands diagram) Because bagels and cream cheese are often eaten together, they are complements. a. We observe that both the equilibrium price of cream cheese and the equilibrium quantity of bagels have risen. What could be responsible for this pattern-a fall in the price of flour or a fall in

Tariffs and Quotas

The United States currently imports all of it's coffee. The annual demand for coffee by US consumers is given by the demand curve Q = 250 - 10P, where Q is quantity (in millions of pounds) and P is the market price per pound of coffee. World producers can harvest and ship coffee to us distributors at a constant marginal (= aver

Microeconomics - Monopolistic Competition

1. Airline companies sometimes fly airplanes that are one quarter full between cities. Some people point to this as evidence of economic waste. Is this economic waste? Would it be better to have fewer airline companies and more full planes? 2. Draw a diagram to identify a monopolistic competitor that is incurring losses. 3

Market equilibrium price/output combination

Dozens of Internet Web sites offer quality auto parts for the replacement market. Their appeal is obvious. Price-conscious shoppers can often obtain up to 80 percent discounts from the prices charged by original equipment manufacturers (OEMs) for such standard items as wiper blades, air filters, oil filters, and so on. With a

Indifference Curves/Consumer Preference

Given: Good X and Good Y A consumer's relative preferences change for good X. Use the full indifference curve framework to graphically show, and explain, the effect on the demand curve for good X that these changes in the consumer's relative preferences have.

Market structure questions - fill in the blank

1. The four major characteristics of a purely competitive market structure are _________________, __________________________, _______________________, ________________________. 2. The demand curve facing a pure competitor is ____________________ elastic; such a demand curve is (horizontal, vertical)_______________

Market demand on the assumption that goods are private

On the basis of three individual demand schedules on the next page, and assuming these three people are the only ones in the society, determine (a) the market demand on the assumption that the good is a private good and (b) the collective demand schedule on the assumption that the good is a public good. Explain the differences,

Economics questions

Suppose that economists observe that in a closed economy an increase in government spending of $10 billion raises the total demand for goods and services by $30 billion. * If these economists ignore the possibility of crowding out, what would they estimate the marginal propensity to consume (MPC) to be? * Now suppose that th

Complements

1. Caviar and champagne are complements. Recently pollution has been a problem in the Volga River, where much of the world's caviar originates. The sturgeon that live in these waters are laying fewer eggs than before. Show graphically and explain the effects on the market for caviar and the market for champagne. 2. Apple an

Two firms compete in a homgeneous product market...

Two firms compete in a homgeneous product market where the inverse demand function is P=10-2Q(quantity is measure in millions). Firm 1 has been in business for one year, while firm 2 just recently entered the market. Each firm has a legal obligation to pay one year's rent of $1 million regardless of its production decision. F

For each question, draw a market in equilibrium, labeling the initial equilibrium price and equilibrium quantity. Then shift the appropriate curve and label the new equilibrium price and equilibrium quantity. Next, fill in the blanks to describe what happened

Directions: For each question, draw a market in equilibrium, labeling the initial equilibrium price and equilibrium quantity. Then shift the appropriate curve and label the new equilibrium price and equilibrium quantity. Next, fill in the blanks to describe what happened. 1. The price of a substitute for this go

Changes in the price of a key commodity

How would government react to sudden, large changes in the price of a key commodity, such as gasoline, electricity, or prices on stocks on the New York Stock Exchange?

Supply and Demand and Equilibrium

For the following events, tell me what happens as a result of the following events. You do not have to draw any graphs. 1. Please tell me what happens to the equilibrium price, and equilibrium quantity. 2. With regards to whether demand or supply changes, please use a plus sign (+) for the increase and a minus sign (-) for t

Equilibrium price problem

Please help answer the following three questions based on the data given: Data: Bushels demanded per month Price per bushel Bushels supplied per month 45 $5 77 50 4 73 56 3 68 61 2 61 67 1 57 Questions: 1. Refer to the above data, what is equilibrium price? 2. If the price i

Simple Work: The Costs of Production

Full Description: for the data below, I have to solve the problems, create problems similiar, and write a paper based on the data and use this as a study guide. I calculated these problems myself but wanted to get them done as to double check them since a lot of different parts of a large assignment is based off of the first st

Superior Metals Company

Superior Metals Company has seen its sales volume decline over the last few years as the result of rising foreign imports. In order to increase sales (and hopefully, profits), the firm is considering a price reduction on luranium - a metal that it produces and sells. The firm currently sells 60,000 pounds of luranium a year at a

Labor economics

Consider an economy that consists of two regions-the North and the South. The elasticity of labor demand in each region is -0.5. The economy-wide labor supply is perfectly inelastic. The labor market is initially in equilibrium, with 600,000 employed in the North and 400,000 in the South at the wage of $15/hour. Suddenly, 20,00