I am writing a paper on price elasticity. I am to select a product and state whether it has price elasticity or price inelasticity. I have selected the Infiniti M35 car. The starting price for year 2008 is $43,050, year 2007 starting price was $41,450, and year 2006 starting price was $42,700. What would be the impact of raisin
Recently, there has been a lot of press about the high lead content in toys made in China. This negative press can affect the foreign exchange rate between the U.S. dollar and the Chinese yuan. Using Supply and Demand as the framework, explain how the exchange rate is likely to change. What might be the economic affects of this
The demand curve shows that price and quantity are inversely related. Briefly explain two justifications for this relationship (the income and substitution effects). The supply curve shows a positive relationship between price and quantity supplied. What role does the loss of increasing opportunity cost play in this relationship
The inverse demand curve for a commodit market is P=180-Q. The inverse supply curve is MC=Q. Based on this information: a) What is the equilibrium price level if this market is competitve? b) What is equilibrium quantity level if this market is competitive? c) What is equilibrium price level if this market is monopolized?
In the U.S. real estate brokerage industry, brokers employed by large brokerage firms have traditionally worked for a portion of the commissions they generate. That is, if a house sale generates a 6% commission split equally between the brokers for the two sides (standard in many markets in the U.S.), the broker on one side mig
U.S. winter wheat production increased dramatically in 1999 after a bumper harvest. The supply curve shifted rightward; as a result, the price decreased and the quantity demanded increased (a movement along the demand curve). The accompanying table describes what happened to prices and the quantity demanded of wheat. A. Using
The Arena Company, which sells engines, has a uniform price of $500, which is charges all its customers. But, after its competitors begin to cut their prices in the California market to $400, Arena reduces its price to $400. a. Does this tend to violate the Clayton Act? b. If the Arena Company had cut its price to $300, mig
An announcement that smoking will harm your ability to think clearly will most likely result in a. an increase in the quantity of cigarettes demanded b. a decrease in the demand for cigarettes c. no change in smoking habits d. an increase in the price of cigarettes my answer is D Given that chicken and beef are subst
In a competitive market, all consumes pay the same price (equilibrium price) for the goods. Using the concept of consumer surplus, explain why each individual would be willing to pay a higher price and what does this mean regarding the consumer surplus of the "last person" shown on the demand curve.
An essay (with at least two APA formatted references) needed on how the two economic principles that include helping to explain how wages are determined in a market economy are and People Face Tradeoffs, and how Governments Can Sometimes Improve Market Outcomes they apply to the labor market for nurses. o Cite the state and
Can you please provide an example of the market where government has imposed a price ceiling or a price floor and use demand and supply analysis to explain the consequence on that market.
A typical university football programs requires alumni to join one of several booster club (each club gets seats in different parts of the stadium) before the person can buy season tickets. What has this got to do with consumer surplus?
The market environment heavily influences corporate decision makeing ability. Discuss the difference in executive decisions concerning pricing, product design, and advertising between a company that exists in a perfectly competitive market and a company that lives in a monopolistic competitive market.
Think of a product that you will buy more of if its price goes up. To which category does this product belong? Provide reasons for your answer. Develop a demand curve for it. Also show the condition of market equilibrium for these categories of goods. Compare the demand curve of these goods with the goods that you will buy m
Comparative statics analysis in economics is best illustrated as the comparison of equilibrium points before and after changes in the market have occurred. a comparison of two types of markets. the comparison of the percentage of change in the one variable divided by the percentage change in the other variable.
1. Managerial economics is best defined as: (Points: 7) the study of economics by managers. the study of aggregated, national economic activity. the study of how managers make decisions about the use of scarce resources. all of the above are good definitions. 2. From the standpoint of
1. Which of the following applies most generally to supply in the long run? a.Average cost must decline b.Selllers are able to make adjustments in all of their factors of production. c.Sellers are only able to make adjustments in their variable factors of production d.All original sellers will leave the market 2.Which o
The government wants to reduce the consumption of electricity by 10%. The price elasticity of demand for electricity is -0.4. The government should ________ the price of electricity by _____ a. raise; 0.04% b. raise; 2.0% c. lower; 0.4% d. raise; 25.0% Assume you earn $75,000 a year and your
Explain how the Law of Diminishing Marginal Product results in u-shaped average cost curves, both Average Total Cost (ATC) and Average Variable Costs (AVC). Hint: First explain how Marginal Product (MP) and Marginal Cost (MC) are related and then explain how MC is related to ATC and AVC. The transit authority is considerin
1-2 pages Details: In this activity you will need to go to the realtor.com website. Follow the instructions for "Finding a Home", and check housing prices for a 3-bedroom, 2-bath house in several cities, for example, San Francisco, CA; Topeka, KS; Dallas, TX; Concord MA; and Seattle, WA. Explain why housing prices vary from ci
I would appreciate four are five paragraphs on The impact of Energy Costs on the Aggregate Supply, this is a topic we have been discussing in my macroeconomics class and I am completely lost. If you give me information from other scourges please tell me what they are so I can dig deeper.
A major step toward mastering the economic way of thinking is learning to reason in terms of supply and demand. I have listed several questions below to answer and practice these concepts. What effect would you predict on the price of rental housing in an area where several major employers have recently closed down or moved aw
Articulate how macro- and microeconomics come into play in the context of company decision-making in a global business. ***Length= 5-6 paragraphs, and please list any and ALL references used along with websites where info. was found, for proper citation* thank you :)
Two principles of economics that help explain how wages are determined in a market economy are: #1-People Face Tradeoffs and #2-Governments Can Sometimes Improve Market Outcomes Consider these principles when completing the assignment. Think of how they apply to the labor market for nurses. Research the labor market for an
Eaton Corp. (Industrial Equipment). Base on the company information please provide answer to the following questions 1. During the job interview, the Vice President understood that you had received rigorous training in managerial economics, and you were able to select some appropriate methods to forecast the market movement.
I don't understand how a price ceiling undermines the rationing function of market determined prices. How could rationing coupons ensure that consumers with the highest values get the limited amount of a good supplied when government price ceilings create shortages? I believe that the answer is based upon demand, supply and ma
While sitting in your office one evening, you begin to think about some of the key microeconomic messages you want to communicate to the Board. (Key concepts include, but are not limited to, supply and demand, pricing, competition, costs & production, and economic value added.) Pick two key concepts and discuss what you will pre
Is the demand for electricity more price elastic when measured over a short period of time or a long period time? Explain.
Find two articles that discuss the local, state, or federal taxation of a good. Describe the effects of taxation and price controls on the economy. -Is the tax levied on the producers or consumers? -How does the tax affect supply or demand? -How does the tax affect the equilibrium price and quantity? -In this market, descr
Address the following topics in your analysis: a. Prices b. Technology c. Productivity (consider the law of diminishing marginal productivity) d. Cost structure 1) Wages and benefits 2) Fixed and variable costs e. Price elasticity of demand