The figure below shows Serena's demand curve for days in the hospital. The marginal cost of an additional day in the hospital is $200 Price (5/day 400 300 200 100 D Length of hospital stay (days) If Serena had to pay the entire marginal cost of spending a day in the hospital, then she would choose to stay. Multiple Choice day(s)

Q: Consider the following production function: q=100L0.8K0.4 Currently the wage rate (w) is $4.00 and…

A: Cost minimization is an important goal for any firm that wants to improve profitability and remain…

Q: A positive externality is basically pollution generated by private firms.

A: An externality can be positive or negative. It can be caused by a manufacturer/ firm or many other…

Q: The market for good Q is perfectly competitive. However, it features negative externalities.…

A: A negative externality is a circumstance in the market when a person's actions will have a negative…

Q: The following diagram shows supply and demand in the market for laptops. 150 135 120 PRICE (Dollars…

A: Introduction Supply and demand is an economic model that explains the relationship between product…

Q: 7. Suppose the consumer buys pizza and soda. The price of pizza is $15 and the price of soda is $3.…

A: Budget line is a graphical representation of all possible combination of two goods, x and y, that…

Q: 4A. (i) Derive the equations for the IS and LM curves: IS LM (ii) Illustrate graphically. Be sure to…

A: “Since you have posted multiple questions with multiple sub parts, we will provide the solution only…

Q: Your Uncle Jimbo is willing to lend you $300 so you can buy a textbook. However, he expects $350 by…

A: Nominal rate is defined as the interest rate that is determined without taking into account the…

Q: Give an Example of how E-Payment system increases employment in Guyana's economy

A: An e-payment system, also known as an electronic payment system or digital payment system, is a way…

Q: An emerging country has a real GDP of $ 1330.1 billion. After one year, real GDP has grown to $ 1383…

A: Introduction  Real GDP is the sum-total of the economic output produced in a year value at a…

Q: Suppose you sell items on a web site like Etsy and making them requires you to rent some equipment…

A: The break-even point is the level of production or sales at which a firm's total revenues exactly…

Q: In answering the question, you should emphasize the line of reasoning that generated your results;…

A: A central bank is a financial institution that manages a country's monetary policy and oversees its…

Q: Lenin's idea that "_the whole of society will have become one office and one factory_" is…

A: Lenin's idea that "_the whole of society will have become one office and one factory_" is…

Q: Elasticity can be described as elastic or very responsive; unit elastic or inelastic -not very…

A: 1. The elasticity of demand/ supply measures the responsiveness/ sensitivity of the quantity…

Q: 04 Identify each of the following cash items whether it is fixed cost, variable cost, sunk cost,…

A: 4)Production is the process of generating goods and services to fulfil the needs of a diverse set of…

Q: Garfield enjoys pizzas and hanging out (leisure). He sleeps 8 hours per day. Of the remaining 16…

A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…

Q: Felice lives and works for two periods. In the first period, she earns 520 coconuts and in the…

A: In this case, we have to discuss the budget constraint and indifference curve. Budget constraint is…

Q: For a small open economy with free capital mobility, an increase in the world real interest rate…

A: The term "capital mobility" describes how easily financial resources, such as cash or investments,…

Q: For the students of the college, the visual appearance of the campus is _______(rival/nonrival) and…

A: Public goods are exceptional in economics because everyone benefits equally from them and anyone can…

Q: A new Telsa manufacturing plant in Sothern Ontario plans to start manufacturing Telsa Model 3 based…

A: Profit maximization is process which business firms undergo to ensure the best output and price…

Q: Assume that the demand for films is given by Q = 45 − 2P and the supply is given by Q = 15 + P. What…

A: To find the equilibrium price and quantity of films, we need to find the price at which the quantity…

Q: please do d and e now please

A: Pareto optimal allocation refers to that point deviating from which no player can be made better off…

Q: 3.1 Use the following diagram to calculate total consumer surplus at a price of $12 and production…

A: At equilibrium where demand and supply are equal where price is determined at this point and total…

Q: 7. A 200-pound steer can be sustained on a diet calling for various proportions of grass and grain.…

A: Introduction Return to scale is an economic concept that describes the relationship between…

Q: How was DeBeers able to create value in the dimaond sector? How did tangible and intangible…

A: Tangible resources are physical assets that can be touched, seen, and quantified. They include…

Q: Bank of Canada The Bank of Canada lowered overnight rate target to 1/4 percent on March 27, 2020 due…

A: Macroeconomics is the branch of economics that studies how an economy functions as a whole. It is…

Q: Part 1: Ambrose's brother Anselm has an income of $265 and a utility function U(x1,x2)=70x^1/2 + x2.…

A: The word "utility" is used in economics to describe a good or service's value or importance. Utility…

Q: The demand for Mehta Thingbobs is described by the function q = 17(5p, - 4p)²/5, where • ps is the…

A: Price is the amount of money that has to be paid to acquire a given product.

Q: simultaneously set prices (as in the Bertrand model); and if some firm sets than other firms, then…

A: A market structure body by a solo seller, selling a unique product in the market. In a monopoly…

Q: 1. The following table contains the GDP per capita of selected countries. GDP per capita in 2020 (US…

A: 1) Macroeconomics is the branch of economics that studies how an economy functions as a whole.…

Q: Please answer the following questions thoroughly: Some argue that the price elasticity of demand…

A: Item pricing is essential because it calculates the consumption rate of commodities in an economy.…

Q: Consider a small exchange economy with two consumers, A and B, and two commodities, 2₁ and 12.…

A: Given: The utility function of A: U(x1A,x2A)=x1Ax2A The utility function of B: U(x1B,x2B)=2x1B+x2B

Q: Draw indifference curves for the following sets of preferences and indicate the direction in which…

A: Indifference curve shows the different combinations of two goods that yield the same level of…

Q: A consumer faces a tradeoff between labor (L) and leisure (R). She consumes a composite good (C).…

A: Given Hourly Wage = $15 Spend a maximum of 24 hrs on labor and leisure work = 10 hours Leisure = 17…

Q: 15. The assumption that preferences are complete requires the consumer: (a) To rank any two bundles…

A: Consumer theory is an economic branch that focuses on how consumers make choices to maximize their…

Q: For this question, it would probably be very helpful for you to sketch the market on a separate…

A: Demand Curve is the downward sloping curve.  Supply curve is the upward sloping curve.  Price floor…

Q: The private consumption of Macroland is given by C=500+0.75Y and the private investment function is…

A: Given information: C = 500 + 0.75Y ----------> Consumption function I = 400 - 1000r…

Q: Aneesha's Pizzas is a takeout-only pizza parlor servicing the college campus of Urbana that…

A: Fixed factors are those factors which cannot be changed in the short run while variable factors can…

Q: 6. Suppose demand and supply a. What are the equilibrium quantity and price in this market? b.…

A: Price Floor: When the market equilibrium price is quite low then in order to support the suppliers…

Q: Ambrose has indifference curves with the equation x2 = constant 4x^1/2, where larger constants…

A: Indifference curve An indifference curve is a diagrammatic depiction of a combination of goods that…

Q: You just made an investment in an insurance policy that is guaranteed to pay you $2.6 million 20…

A: The quantity of goods and services that can be purchased with a monetary unit is referred to as its…

Q: Do you observe a Phillips curve, a reverse Phillips curve, or no relationship in the long-run?…

A: Phillips curve is a graphical representation which depicts the relationship between the inflation…

Q: Suppose that you can schedule a worker for up to 4 hours per day. The total benefit and total cost…

A: Marginal benefit refers to the additional benefit derived by employing one additional hour of labor.…

Q: The following graph shows the demand curve for smart fridges. Suppose the government offers a $1,200…

A: The concepts of demand and supply are the foundation of microeconomics. Effective demand is simply…

Q: 17. Evaluate the truthfulness of the following statements: I. The Engel curve for a normal good is…

A: The Engel curve is a graphical representation that shows the relationship between the quantity of a…

Q: There are two large open economy. Current account balance of the home country is given by -15+30r",…

A: The equilibrium level of the home current account (CA) balance is the point where the home CA…

Q: The nation of Kona cultivates coffee beans and cassava, from which all their consumer goods are…

A: A nominal wage, or money wage, is the precise amount of money you get paid per hour or per salary.…

Q: Given: In the US consumption of apples was Free Trade, consumption of apples was 6000, bananas-1500,…

A: Free trade refers to the exchange of goods and services without any interference by the government.…

Q: 21. The budget constraint: (a) Represents the set of all baskets the consumer can afford (b)…

A: Introduction Budget constraints are limits that are set on how much money or resources can be spent…

Q: Suppose that the world price of oil is $60 per barrel and that the United States can buy all the oil…

A: A market with free trade refers to a situation where there are no barriers to trade such as tariffs,…

Q: Scooter's Scooters is a large American manufacturer of electric scooters operating out of Mesa.…

A: Introduction Economies of scale refer to the cost advantages that businesses can realize when…