a.) The consumer demand curve for Professor Stefan Schwarzenegger’s dumbbells is given by x = (95 − 2p)^2 , where p is the price per dumbbell, and x is the demand in weekly sales. [A] Find the Elasticity of Demand function E(p) and evaluate it at the price p = $20. Is the demand elastic, inelastic, or does it have unit elasticity? Explain what this means in your own words.  b.) Find the price Professor Schwarzenegger should charge for his dumbbells in order to

Suppose that the real money demand function is L(Yr+ ? ?=0.3Yr+c)  Where Y is real output, r is the real interest rate, and πe is the expected rate of inflation. Real output is constant over time at Y = 1500. The real interest rate is fixed in the goods market at r = 0.5 per year. (a) Suppose that the nominal money supply is growing at the rate of 10% per year and that this growth rate is expected to persist for ever. Currently, the nominal money supply is M = 400. What are the values of the real money supply and the current price level? (Hint: What is the value of the expected inflation rate that enters the money demand function?)

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The biological relationship between the growth for the fish population and the size of the fish population is g = 15S(1S/5) where g is the growth of the fish population and S is the size of the population. The size of the harvest is a function of the amount of human effort expended b = 3ES where E is the level of effort. Market price of fish per unit is $100 and a constant marginal cost of effort is $50. If we rewrite the sustainable harvest/catch level equation in terms of effort level, E, then we have b s = E E-