Q: What are the entry barriers to Monopoly? Using the case of an electricity company operating a power…
A: There can be several entry barriers in monopoly. The two of the barriers can be 1) Economies of…
Q: You do decide to enter the market. You estimate that your company could command 19,500 of the…
A: Market share refers to a company’s sales in the market. It is calculated as a percentage of the…
Q: 6 Since 2019, the world economy has been hampered by the epidemic. Using macroeconomic theory, this…
A: 2019 outbreak not only affects the people's health but also had impact on world economy. whether…
Q: A business is considering to purchase a security system. The below table describes the marginal…
A: Economic efficiency is the state of having all resources used effectively to maximize benefits for…
Q: C. Market for Electric Fans In the long-run equilibrium of a competitive market, the market supply…
A: Given , Market Long Run Supply : P = 30 + 0.5Q Market Long Run Demand : P = 100 - 1.5 Q MC of…
Q: g. Suppose that taxes are not exogenous as suggested at the beginning of this task but, rather,…
A: Aggregate demand is the sum of Consumption, Investment, government spending and net export. In a…
Q: Given the position of the MSC curve, once can conclude that the PRICE OF GOOD X P₂ P₁ - H Q₁ Q₂ Q₂…
A: Externalities happen in an economy when the production or consumption of a particular decent or…
Q: Cross-price elasticity demand and income elasticity of demand. What do positive and negative values…
A: Cross-price elasticity of demand It measures the percentage change in the quantity demanded of a…
Q: With a linear inverse demand function and the same constant marginal costs for both firms in a…
A: Stackelberg model is a dynamic model. The one firm moves first and other follows it. The First mover…
Q: 1. Consider a market where the supply is given by QS = P and the demand is given by QD=20-P. (a)…
A: A deadweight loss is an expense to society created by market inefficiency, which happens when supply…
Q: In 300-500 words, describe two examples of positive externalities and two examples of negative…
A: Externality refers to the spill over effect of production or consumption activities that accrues to…
Q: Westminster Insurance Company. Westminster Insurance Company plans to sell $2,000,000 of…
A: Westminster Insurance Company has to sell the commercial paper in 60-day maturity. It wants to…
Q: 32. Production and consumption of gasoline has an external cost of air pollution that can damage…
A: Externality is an economic term that refers to the expenses or benefits borne by a third party who…
Q: Please provide answer with method and explanantion
A: A monopoly is a market situation at which there is only one seller that sells a product which has no…
Q: Exercise II: Given the price and quantity recoded below: P($) Qd (ton) Qs (ton) 50 1800 550 60 1600…
A: Equilibrium price and quantity are determined where market demand is equal to market supply. Given…
Q: Consider the initial impact of the COVID-19 world in 2020-2021 on the supply and demand of loanable…
A: Leftward shift in supply curve means the decrease in supply and vice versa. Leftward shift in…
Q: - Oil spills from oceangoing tankers are rare but bring huge damages to coastlines when they occur…
A: Externalities refer to the scenario when the production or consumption of a good or service by one…
Q: One strategy that central banks can use to control inflation is O Increasing the capacity of…
A: Inflation is the general increase in the price level. The central bank of a nation controls the…
Q: A bakery has an average fixed cost per bun of $1 and average variable cost of $1.60 at current…
A: The short run is the period of time when there are both fixed and variable factors. Variable Cost…
Q: PART. Use the following information to answer all questions: the demand curve D(x)=-x² +8x+9, the…
A: Total revenue is the product of price and quantity. Profit is the difference between total revenue…
Q: Consider the following finitely repeated date game. Write down a subgame perfect equilibrium. You…
A: Subgame perfect equilibrium is the refinement of the Nash equilibrium for the dynamic game. Nash…
Q: If the aggregate demand parameter decreases in the IS curve and the central bank wishes to stabilize…
A: Aggregate demand basically refers to the total amount of demand for all finished goods and services…
Q: Which of the following cannot be used to measure inflation? a) GDP deflation b) Expenditure method…
A: Inflation is the increase in the general price level. There are many indicators to measure…
Q: 8. The micro-founded version of the sticky price model is summarized in the following equation P =…
A: The sticky wage model is the one that assumes that the prices and wages in the economy remain the…
Q: Unemployment that results because it takes time for workers to search for the jobs that best suit…
A: Unemployment, as per the OECD, is individuals over a predetermined age not being in paid business or…
Q: Distinguish between industrially Advanced countries and Developing countries. Give examples
A: Those countries whose rate of industrialization and per capita income is high is known as…
Q: There has been a rapid increase in the proportion of the world's population that is age 65 or older.…
A: Please check the solution below
Q: After three years at the Massachusetts Institute of Technology, Renaud realizes that he doesn't want…
A: The marginal revenue refers to a extra revenue added by increasing the quantity with an additional…
Q: 2. (Jones. Chapter 8, Question 1) TABLE 8.1 The Consumer Price Index, 1900-2015 (2015 = 100) Year…
A: Consumer Price Index is a measure of overall changes in the price of goods and services paid by the…
Q: 1.In income substitution effects acts in opposite direction, then the total effect on consumption is…
A: The income effect is the adjustment of the utilization of merchandise by shoppers in view of their…
Q: In a strong, growing economy, what happens to the number of jobs and types of jobs? O The number of…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: Lower taxes represent a negative AD shock. O False O True
A: The primary means through which a government brings money into its coffers is via the imposition of…
Q: If the M2 multiplier is currently 8 and people decide to increase the ratio of currency they hold…
A: The link between the financial base and the money supply is measured by the M2 multiplier. It is…
Q: For the competitive market and the perfectly competitive firm, an efficient allocation of resources…
A: Allocative efficiency is where the price is equal to marginal cost. In perfect competition, A firm…
Q: What is community? Describe the components or characteristics of a community?
A: The concept of "community" presumably originated in situations where individuals gathered in a…
Q: Year Income CPI 2012 62,464 226.7 2013 2015 65,692 66,899 70,500 230.3 233.9 233.7 2014 2016 72,904…
A: Real income refers to inflation-adjusted earnings while nominal income will not be adjusted for…
Q: QUESTION 14 If the price of a good rises by 10% and the percentage decrease in the total amount…
A: The response of change in quantity demand (Q) to change in price (P) is shown by PEDprice…
Q: what type of policy should the Federal Reserve use in order to bring the economy back to Long Run…
A: If the unemployment rate > the natural rate of unemployment, then the actual GDP is lower than…
Q: a. What are the units on the vertical axis of the above figure? b. If the nominal policy interest…
A: The IS-LM model refers to the model that shows how aggregate markets for real goods and financial…
Q: Compare and contrast political economy and political system.
A: Despite the fact that the terms political economy and political system are sometimes used…
Q: Say whether you agree or disagree with this statement and explain your reason: “If the income effect…
A: The change in consumer consumption of goods as a function of income is referred to as the "income…
Q: speculative bubble occurs when O Buyers use credit to make purchases they cannot afford O Investors…
A: "Since , multiple questions has been asked by you , we will solve first question for you. Please…
Q: If a Canadian hockey stick has a price of $44, how much does it cost in a. Europe, assuming an…
A: The unitary method can be applied to get currency conversion
Q: 5. Contrast the effectiveness of expansionary fiscal policy in the Basic Keynesian and AD-AS models…
A: Policy-It refers to a plan to do a particular situation that has been agreed to by a group of…
Q: a) Suppose an insurance company decides to insure the earnings obtained by a professional tennis…
A: Since you have asked multiple questions, we are answering only the first question for you. If you…
Q: Do you think it is necessary to measure development the level of poverty using monetarydimensions?…
A: Meaning of Economic Development: The term economic development refers to the situation under which…
Q: Use the supply and demand data to complete the table. Price Quantity Demanded Quantity Supplied…
A: Quantity demanded is inversely related to price. Quantity supplied is positively related to price.…
Q: An economy is in equilibrium. Calculate national income from the following: Autonomous consumption =…
A: Investment expenditures are a critical consider the short run macroeconomic examination of business…
Q: The table above shows Econland’s economy aggregate demand and aggregate supply schedules. Econland’s…
A: Aggregate demand is the sum of Consumption, Investment, government spending and net export. There…
Q: Read the text below. Use the words to the right of the text to form a word that fits the context.…
A: (1) the distribution. (2) Economies. (3) Compare. (4) Various. (5) View.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 5. During the COVID-19 pandemic, a firm's revenue declines continuously so that the revenue, TR (measured in millions of pesos), in t years' time is modeled by TR=5e015t . (a) Calculate the current revenue and also the revenue in two years' time and (b) After how many years will the revenue decline to P2.7 million?The following table shows the sales volumes for company XYZ in millions of KES. Use the belowinformation to forecast the sales volumes in in 2022, 2023, 2024. 2026.Year2012203320142015201620172018201920202021Sales 220024003200450055009000150010800163009500 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.Suppose you regress the annual percentage stock price returns on Russell 2000 small cap index for on a the percentage annual returns for a market index. Use the following output from this linear regression to answer questions a. - f. a. What is the formula for the Russell 2000's characteristic line? b. You forecast a market return of 6% next year. According to the market model, what is next year's expected return for the Russell 2000 index? c. What is the correlation between the return on the Russell 2000 and the return on the market Index? d. How much of the variation in the Russell 2000's returns are explained by the model? e. Based on these regression results, the Russell 2000 index would be considered what kind of an investment, defensive, aggressive, or market neutral? f. Does this regression have much explanatory power? Why or why not?
- Along with many other producers, you own a small oil well. The market is very competitive. Themarginal extraction cost is $10 per barrel. The interest rate is 5%. The annual demand for oil isQ = 90,000 – 2,000P where Q is in barrels per year and P is in dollars per barrel.Use your knowledge about Hotelling’s Rule to answer the following questions: Oil is trading for $25/bbl on Jan 1st, 1999. What do you expect the path of oil pricesand extraction quantities to be from 1999-2010 (assuming no shocks to the market)?A day later, on Jan 2nd, 1999, the Wall Street Journal opens with a story that there is now amore reliable reserves estimate. Total reserves are estimated at 760,000 barrels. b. What is the oil price directly after this news becomes public? When will the worldrun out of oil, assuming no more oil is discovered? [Hint: use a spreadsheet.]You have a couple million dollars to spend on Dec 31st, 1999. You decide to quickly buy out allsmall oil producers. By Jan 1st, 2000, you are…Along with many other producers, you own a small oil well. The market is very competitive. Themarginal extraction cost is $10 per barrel. The interest rate is 5%. The annual demand for oil isQ = 90,000 – 2,000P where Q is in barrels per year and P is in dollars per barrel.Use your knowledge about Hotelling’s Rule to answer the following questions: Oil is trading for $25/bbl on Jan 1st, 1999. What do you expect the path of oil pricesand extraction quantities to be from 1999-2010 (assuming no shocks to the market)?A day later, on Jan 2nd, 1999, the Wall Street Journal opens with a story that there is now amore reliable reserves estimate. Total reserves are estimated at 760,000 barrels.A department store is about to order deluxe, standard, and economy grade DVD players for next year's inventory. The state of the nation's economy (fate) during the year will be a factor on sales for that year. Records over the past 5 years show that if the economy is up, the store will net 4, 2, and 1 million dollers, respectively, on sales of deluxe, standard, and economy grade models; if the economy is down, the company will net -2, 1, and 4 million dollars, respectively, on sales of deluxe, standard, and economy grade models. Complete parts A through D below. The expected value of the game to the company if it orders only deluxe DVD players and fate plays the strategy "Down" is | (Simplify your answer.) The expected value of the game to the company if it plays its optimal strategy and fate plays the strategy "Down" is (Simplify your answer.)
- Estimate the double-log (log linear) time trend model for log cruise ship arrivals against log time. Estimate a linear time trend model of cruise ship arrivals against time. Calculate the root mean square error between the predicted and actual value of cruise ship arrivals. Is the root mean square error greater for the double log non-linear time trend model or for the linear time trend model?Bell Greenhouses has estimated its monthly demand for potting soil to be the following: N=400+4X where N=monthlydemandforbagsofpottingsoil X=timeperiodsinmonths(March2006=0) Assume this trend factor is expected to remain stable in the foreseeable future. The following table contains the monthly seasonal adjustment factors, which have been estimated using actual sales data from the past five years: Forecast Bell Greenhouses demand for potting soil in March, June, August, and December 2007. If the following table shows the forecasted and actual potting soil sales by Bell Greenhouses for April in five different years, determine the seasonal adjustment factor to be used in making an April 2008 forecast.A firm experienced the demand shown in the following table. *Unkown future value to be forecast Fill in the table by preparing forecasts based on a five-year moving average, a three-year moving average, and exponential smoothing (with a w=0.9 and a w=0.3). Note The exponential smoothing forecasts may be begun by assuming Y t+1=Yt. Using the forecasts from 2005 through 2009, compare the accuracy of each of the forecasting methods based on the RMSE criterion. Which forecast would you have used for 2010? Why?
- 20 → Using the following Water Purifier prediction interval example f rom the text, how would you describe the probability or likelihood that an 1800 GPH purifier would cost between what price intervals?* Enter the GPH for which you desire an estimate: Your estimated Price is: Prediction Interval (+/-) Confidence Level: Range 90.0% 2,380 Low 4,071.31 1,800 5,261.08 OK ✓ Estimate High 5,261.08 6,450.85 A There is a 98% likelihood that an 1800 GPH purifier would cost between $4,071 and $6,450.85 [B] There is a 90% likelihood that an 1800 GPH purifier would cost between $4,071 and $5,261.08. c There is a 90% likelihood that an 1800 GPH purifier would cost between $4,071 and $6,450.85 D] There is a 98% likelihood that an 1800 GPH purifier would cost between $4,071 and $5,261.08.10 00 Interest Rate (%) N B Investment Demand 0 $30 60 90 120 150 Investment ($) Price Level Multiple Choice AS Real GDP ($) AD₁ (1=120) AD₂ (1=90) *AD3 (1=60) Refer to the graphs, in which the numbers in parentheses near the AD₁, AD2, and AD3 labels indicate the level of investment spending associated with each curve. All numbers are in billions of dollars. The interest rate and the level of investment spending in the economy are at point D on the investment demand curve. To achieve the long-run goal of a noninflationary, full-employment output Qfin the economy, the Fed should try to decrease aggregate demand by increasing the interest rate from 2 to 4 percent. decrease aggregate demand by increasing the interest rate from 4 to 6 percent. increase aggregate demand by decreasing the interest rate from 4 to 2 percent. increase the level of investment spending from $120 billion to $150 billion.A herbal tea producer company has 24 different products in the market, each are produced in one of the 3 factories owned by the company. The weights of the products in monthly sales may vary depending on time of the year (demands of certain products shift to others in each of the 4 seasons), age of the products and market conditions, but yearly aggregate demand has a very strong correlation with the price of the product (Here, we ignore any other factor and assume that the yearly aggregate demand is directly and linearly effected by the price). The company found out that when the price for a packet of 20 herbal tea bags is 10 TL, yearly demand is 175000 packets. When the price increases to 11 TL, demand decreases to 174650 packets. On the cost side, the company has 2900000 TL of yearly administrative costs regardless of the price or the number of units sold, including the rents, depreciation of the buildings and other related assets and salaries of 58 workers (average monthly salary…