5. Suppose total benefits and total costs are given by B(Y) = 100Y-8Y(squared) and C(Y)=10Y(squared). What is the maximum level of net benefits? A. 92 B. 139 C. 78 D. None of the above 8. Which of the following is the incorrect statement? A. The marginal benefits curve is the slope of the total benefits c
Locate an article pertaining to a change in the supply, demand, and pricing of a particular product or service. Utilizing the economic theories, prepare a paper in which you summarize the article and explain why changes occurred in supply, demand, and price.
1. Using the concepts of marginal costs and marginal revenues, explain why economic profits are maximized where marginal revenue equals marginal cost and why profits decline if the price is above or below the profit maximizing price. 2. Using the concepts of demand, supply, equilibrium, and price ceilings, explain why a short
Annual demand and supply for the Entronics company is given by: Qd= 5,000 +0.5I+0.2A-100P and Qs=-5000=100P where Q is the quantity per year, P is price, I is income per household, and A is advertising if A= 10,000 and I = 25,000 a. What is the demand curve b. Given the demand curve in part a, what is the equilibri
2. Suppose that the following table describes prices, incomes, and per person lobster consumption in three U.S. cities. City Per Person Income Lobster Price Per Person Consumption Boston MA High Mod High San Fran CA High High Medium Boothbay Harbor ME Low Mod Low Use the concepts of opportunit
A South America country with fixed exchange rate system has close economic ties with the USA symbolized by extensive trade and unrestricted flow of capital between the two countries. The economy of this country is in recession and the president of the country tries to get the central bank to intervene and help the economy out o
The federal Insurance Contributions Act (FICA) tax is a payroll tax that finances Social Security and MEdicare. By law, employees each contribute 7.65% of the employees wages toward the programs. Note that the tax rate is 15.3% of wages and the tax payments are equally divided between employers and employees. Would an econom
Explain a real world factor that plays an important role in competition.
I am in the process of writing a 2000 word paper that provides an economic profile of the oil industry. I am looking for a overview of the oil industry (economically), and also how the economy affects the success of the oil industry as well as how it can influence the industry in a negative way.
The United States presently has a current account deficit with Japan. What would happen to the dollar/yen spot exchange rate and the current account deficit if there were a decrease in Japanese investment in the United States? Incorporate that foreign exchange market into your answer.
Assume there is a market for an industrial compound, Weon. This industrial compound is used as an input for the production of cleaning agents. a. Draw a correctly labeled graph of supply and demand showing the equilibrium price and quantity. Also clearly identify the equilibrium in this market. b. Suppose the manu
What are the effects on American wages and purchasing power of the continued outsourcing of labor overseas. What are some of the reasons for these trends. What effect has this trend had on the American workforce; especially the working class?
Using such areas as manufacturing and information technology or any related industry / areas that have had high job growth rates explain a scenario that would cause a shift in labor supply and demand.
1. Discuss the barriers to entry into an industry. Explain how each barrier can foster either monopoly or oligopoly. Which barriers, if any, do you feel give rise to monopoly that is socially justifiable? 2. How does the demand curve faced by a purely monopolistic seller differ from that confronting a purely competitive f
1. "Monopolistic competition is monopolistic up to the point at which consumers become willing to buy close-substitute products and competitive beyond that point." Explain 2. "Competition in quality and service may be just as effective as price competition in giving buyers more for their money." Do you agree? Why? Explai
Using the following equations Qs = 13,000P and Qd = 48,000-6,000P. Plot the supply and demand curves (need a graph). What is the equilibrium price? A new hybrid car manufacturer is trying to decide between making and buying its parts and components. it has complied the following data per vehicle produced: percent of Ma
1. 35% Turkey growers operate in a competitive, constant cost industry. This industry has reached a long run equilibrium at a price of $1 per pound of turkey a. Illustrate the situation for a typical grower and the market. Show price, farm and market quantity, and farm profits. It is known that unregulated waste products f
1. Consider a competitive industry consisting of 100 identical firms each with the following cost schedule: Output Total Cost 0 300 1 400 2 450 3 510 4 590 5 700 6 840 7 1020 8 1250 9 1540 10 1900 Market demand is given by the following schedule: Price: $360 290 230 180 140 110 80 Quantity Demanded: 400 500 60
3. If the dollar appreciated in real terms against the euro by 2% in a year, and in same year, inflation rates in the U.S. and the euro zone were 3% and 1%, what would be the percent change in the value of the dollar relative to the euro in nominal terms? a. appreciated 6% b. appreciated 4% c. appreciated 2% d. no
1. Huntsville, Alabama is engaging in a bumper sticker advertising campaign. Monthly sales data suggest that the following demand relationship exists: Q = 6,000 - 2,000P Where: Q = bumper-sticker sales P = price A. How many bumper stickers could be sold at $2 each? B. What would the price have to be in order to
1) Is Microsoft a monopoly? Is the electric power industry in California an oligopoly? Please explain each well. 2) Since the September 11th attack there has been an increase in the demand for security personnel: police, air marshals, airport security, etc. How do you think the higher demand has affected the equilibrium wage?
Demonstrate graphically how regulating the price of a monopolist can both increase quantity and decrease price. a) Why did the regulation have the effect it did? b) How relevant to the real world do you believe this result is in the "contestable markets" view of the competitive process? c) How relevant to the real world d
1. Suppose that a union's goal is to maximize the total wage income received by union workers, namely, the average union wage times the number of union workers employed. To achieve this goal, the union should: (Decrease the union wage rate if labor demand is inelastic and increase the wage rate if labor demand is elastic, Decrea
Production Cost and Profit Maximization: 1. Fill in the following table from the data given below: TC MC ATC AFC TVC AVC 0 1 2 3 4 5 6 7 8 a. AFC for 8 units of output is 4.5. b. AVC for 4 units of output is 15. c. TC is increased by 14 when the 5th un
Product line price line and quality model. See attached file for full problem description.
The table below are the demand and supply schedules for television sets in Venezuela, a "small" nation that is unable to affect world prices. Price per TV set Quantity Demanded Quantity Supplied $100 900 0 200 700
Use a demand and supply model to explain the impact of occupational segregation or "crowding" on the relative wage rates and earnings of men and women. Who gains and who loses from the elimination of occupational segregation? Is there a net gain or a net loss to society? Explain.
Describe wage determination in a labor market in which workers are unorganized and many firms actively compete for the services of labor. Show this situation graphically, using W1 to indicate the equilibrium wage rate and Q1 to show the number of workers hired by the firms as a group. Show the labor supply curve of the individua
Problem II (parts a and b are 8 points each and c and d are 7 points each) Read the following New York Times (8/25/97) article and then answer the questions that follow. 1,000 Hospitals Will Be Paid To Reduce Supply of Doctors, New York Times, 8/25/97, Warren Leary The Government has agreed to the nationwide expansion o
Problem I: European market for DVDs There are many markets in which a "hardware-software" linkage is important. This problem examines supply and demand forces for an emerging market, namely, digital video disks or DVDs. The DVDs are the software and DVD players are the associated hardware. The dynamic evolution of the DVD marke