Assume a good whose supply is perfectly (infinitely) inelastic. Without a tax, the price $10. If the government imposes on sellers a $ per-unit tax, what will be Pt*, the resulting market price with the tax?
Q: 100+3P and Qd = 400 - 2P where Qs is Quantity supplied and Qd is quantity demanded and P is p...
A: Supply and demand are equivalent in case of Equilibrium stage, and Qd=Qs. In given case:
Q: choose a global event from the past 100 years such as pandemics, recessions and technological booms ...
A: our world economy is interrelated to each other country regarding trade as we call it international ...
Q: Fill in the missing numbers on the chart. Then tell me where we are operating on the Planned AE/RGDP...
A: RGDP Tax DI C S I G X-M Planned AE Chg in Inv 5 1 4 3.7 0.3 1 0.8 -0.5 5 - 5.5 1 4.5 4.1 0.4 1.1...
Q: Please round to two decimal places in your answer. Do not include the % sign Total Population: 150,2...
A: Given the total population = 150270378 Homemakers = 12874567 Labor force = 85314672 Total employed =...
Q: Pizzas are produced using capital as a specific factor and labor as a mobile factor. The graph below...
A: Given that, Pizza is made with capital as a fixed factor and labour as a variable factor.
Q: The insurance case for family formation refers to OA) life insurance that a spouse might buy so that...
A: Life insurance is a contract between the insurer and the policyholder. Life insurànce ensures that t...
Q: Economic Measurements Structural Characteristics of Developing Nations
A:
Q: Which of the following people would be unemployed (or belonging to any labor market group) according...
A: Unemployment is a situation in which a person who is willing and able (capable) to work do not find ...
Q: Consider the chart: B ht Health care $12000 spending per United States person Ni th 10.000 Switzerta...
A: Health spending estimates the last utilization of health care labor and products (for example curren...
Q: MB МАС Q R S ! Y P. %24
A: Before bargaining that is with the property right to assigned to the victim level of abatement would...
Q: Exercise 3. 6olve the following perfect information game using backwards induc- tion. As a part of y...
A: Given information: There are two players in the game: Player 1 and Player 2 The payoffs at the end ...
Q: Assume that machine (K) and labor (L) can be used as perfect complements to perform some administrat...
A: Given Production function: Q=10min(K,L) .... (1) Where K is machine and L is labor
Q: How can traders influence the economy as a whole?
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new que...
Q: GDP is defined as the market value of all in a given time period. O a. final goods and services prod...
A: GDP is the value of all final goods and services produced within the domestic territory of a country...
Q: When the Fed raises the federal funds rate, the US dollar and net exports O a. appreciates; decrease...
A: Federal funds rate is the interest charged on the borrowing and lending transaction between banks th...
Q: n is an employer forced to keep the labor cost low? A. When the product demand is inelastic. ...
A: The wage rate will be competitive in the market structure where competition is high. When demand f...
Q: Problem 07-16 (algo) Suppose Fiat recently entered into an Agreement and Plan of Merger with Case fo...
A: Given; Agreement and plan of merger with case for $4.3 billion.Case's share of market= 20%Fiat's mar...
Q: The four statements below each describe a different market, highlighting one feature of that market....
A: Imperfect market A monopoly is a market structure where there is only a single seller in the market ...
Q: 7. A rightward shift in the short-run aggregate supply curve will occur when A-experts.exceed import...
A: The short-run aggregate supply (SRAS) curve depicts the aggregate quantity supplied by an economy co...
Q: TRUE OR FALSE The future worth of a perpetuity from one (1) to ? years is undefined because as ? ap...
A: The future worth of a perpetuity from one (1) to ? years is undefined because as ? approaches infini...
Q: What is the main purpose of AMLC (Anti-Money Laundering Council? * a. Monitor all transactions of ba...
A: Money laundering refers to the situation when a firm, bank or any other institution make an exchange...
Q: а. What is GDP? b. What is the valued added by each person? Should the pumpkins be included in GDP? ...
A: d. The GDP is the market value of goods and services produced in the current fiscal year. GDP does n...
Q: Problem 2. A substantial portion of international trade happens between countries with similar char-...
A: The interchange of similar items from the same industry is referred to as intra-industry commerce. T...
Q: suppose a stock worth $50 today is equally likely to be worth $100 or $25 a year from today. What is...
A: Introduction Probability of becoming high stock worth and stock worth per year will be equally likel...
Q: Figure 10.1 shows demand and costs for a monopolistic competitor. When a new firm enters the market,...
A: Monopolistic competition is a type of imperfect competition such that there are many producers compe...
Q: Suppose that the long-run total cost function for a typical producer is given by LRTC = 0.02q where ...
A: I think all the options given are incorrect. When I solve it using the way it needs to be solved. We...
Q: d. double declining balance method depreciation charge: Php book value: Php e. sum of the year's dig...
A: Solution:- a.Straight line method Depreciation charge : Php 6650 Book Value: Php 3350 b.Sinking f...
Q: 5. According to Malthus, population increases by progression of which kind? A. O Systematic B. O Ari...
A: "Correct option is C i.e. Geometric."
Q: Explain the two sources for potential GDP growth words and diagrams
A: GDP is a proportion of the worth of the merchandise in goods and administrations created in the econ...
Q: DelRay Foods must purchase a new gumdrop machine. Two machines are available. Machine 7745 has a fir...
A: The correct answer is given in the second step.
Q: The four statements below describe different characteristics of a monopolist, but one statement is f...
A: In a monopoly, there is a single seller and the god produced is unique so the firm has full control ...
Q: Below is a year-end cash flow diagram in dollars, deferred in some years. MARR = 2.7% Find the value...
A: Dear learner you have posted multiple questions, as per our policy we have solved only first questio...
Q: price quantity demanded quantity supplied 300 60 30 400 55 40 500 50 50 600 45 60 700 40 70 800 35 ...
A: The type of price control being imposed by the government and is the highest point at which services...
Q: Which of the following statements is true? According to Okun's law: Select one or more: O a. unemplo...
A: Okun's Law: Okun's Law explains the relationship between output growth and change in the unemploymen...
Q: Buying oil from Saudi Arabia accomplishes which of the following? decreases the aggregate demand O I...
A: Aggregate demand: AD = Consumption + Investment + government spending + export - import Note: Net ex...
Q: Define what we mean by the labor force participation rate and explain its cyclical behavior?
A: In an economy, labor force refers to the sum of employed and unemployed individuals.
Q: 2. (20 points) A stocker plans to purchase feedlot. Feed will cost 2X2 and other costs will be 40X. ...
A: The profit is the difference between total revenue and total cost. It means the cost is minimized an...
Q: -, Find the Subgame Perfect Nash Equilibria of the following game. Hint: it might be helpful to writ...
A:
Q: 17. When a market is in equilibrium A. O No shortage exists B. O Quantity demanded equals quantity s...
A: Equilibrium means a state of rest. Alternatively, it means a position from where no one wants to mov...
Q: 7 Decentralization: You want to introduce lean manufacturing at your plant, but you are not sure whe...
A: Answer: Some tasks are mandatory to perform the managers,then others are doing the primary job is t...
Q: 2. Identical firms are in a monopolistic competition market. Entering the market generates a sunk co...
A: Introduction Here monopolistic competition market has given. Fixed cost = 128 Marginal cost = 10 Ma...
Q: Khaled has developed a new technology device that is so exciting he is considering quitting his job ...
A: Total variable cost is the aggregate amount of all variable costs associated with the cost of goods ...
Q: Consider an election contested by two candidates L & R; when L spends $x million on advertising and ...
A: Given information 2 candidates are in election L and R L pends X million on advertising campaign R s...
Q: Consider a city where everyone commutes to the city center, and the commuting cost per mile per mont...
A: The residential land use curve is based on how much is the consumer is willing to pay for a house. S...
Q: Ritholtz references a research paper that examined 38 states and regions from 1979 to 2016. This res...
A: Research is described as a methodical examination of a specific subject or problem using scientific ...
Q: Type of unemployment being experienced Scenario Possible strategies provided by the government to as...
A: Government are of certain specific types. One of the type of government is democratic government in ...
Q: Farm operations, especially the raising of food crops, have been exposed to many risks or uncertaint...
A: Agricultural insurance Agricultural insurance is a policy in which the insured (farmer) pays a small...
Q: In the United States, where Internet services are cheap, the ratio of capital to labor used is highe...
A: Money is important in day to day life. Money has been developed since the ages and currently it is u...
Q: State which of the following statement about GDP measurement is INCORREC ONLY THOSE THAT APPLY. Sele...
A: GDP refers to the production of goods and services during an accounting year. Three Methods used to...
Q: QUESTION: Can you decide whether to invest after these analyses? If not, what to do next?
A: If money is invested in money market then to calculate the return on $190000 ( as this is the highe...
Step by step
Solved in 2 steps with 1 images
- Who would pay a tax imposed on the supplier when the price elasticity of supply is inelastic and the price elasticity of demand is elastic?Prove that price elasticity of demand is not the same as the slope of a demand curve.Suppose an economist estimates the price elasticity of demand for instant noodle is -2.4, while its price elasticity of supply is 4.0. If the government decides to impost a per-unit sales tax of $16 per pack of instant noodle, how would the market price for instant noodle be affected? Show your calculation.
- A local government is seeking to impose a specific tax on hotel rooms. The price elasticity of supply of hotel rooms is 3.5, and the price elasticity of demand is 0.3. If the new tax is imposed, who will bear the greater burden-hotel suppliers or hotel consumers? The hotel consumers pay percent and hotel suppliers pay percent of the tax. (Enter your responses rounded one decimal place.)Suppose the income elasticity of demand for food is 0.5 and the price elasticity of demand -1.0. Suppose also that your housemate Claire spends $10,000 per year on food, that the price of food is $4, and that her income is $50,000. a) If a $4 sales tax on food were to cause the price of food to double, how much food would Claire’s consume? b) Suppose she is given a state sales tax rebate of $5,000 to ease the effect of the tax. Now how much food would she eat? c) Briefly discuss how you know whether she would be better or worse off when given a rebate to the sales tax payments?According to the article, after the city of Berkeley imposed a $0.01 per ounce tax on sugar-sweetened beverages (SSBs), by what percent did consumption of SSBs fall among Berkeley's low-income residents? Who was Berkeley's tax levied on in city law? Buyers or sellers? Assume that the price elasticity of supply for SSBs is elastic and the price elasticity of demand for SSBs is inelastic. What would be the outcome of the sales tax on sugary drinks if the law says that the tax is levied on sellers of the drinks? Who will pay the tax? Assume that the price elasticity of supply for SSBs is elastic and the price elasticity of demand for SSBs is inelastic. What would be the outcome of the sales tax on sugary drinks if the law says that the tax is levied on buyers of the drinks? Who will pay the tax? Explain why your answers to #3 and #4 are different or similar. What determines who pays the tax? What is your opinion of a tax on sugary drinks in your community? Would you be in favor or…
- What is the price elasticity of demand(Using the Midpoint method) when the price changes from $10 to $13? If the Government imposes a tax of $6 per burrito, how many burritos will be sold in the market?Suppose an economist estimates that the price elasticity of supply for red wine is2.4 while its price elasticity of demand is -4.0.If the government decides to impost a per-unit sales tax of $40 per bottle of redwine, how would the market price for red wine be affected? Show yourcalculation.How does a sugar tax that increases the final price of non-alcoholic beverages with sugar address the problem? Using the concept of price elasticity of demand, is a tax on non-alcoholic beverages with sugar the best way of addressing the problem?
- Which of the following statements is true? a) If the PED for a product is less than zero, the demand for the product is said to be inelasticb) If the PED for a product is greater than zero, the demand for the product is said to be elasticc) The flatter the demand curve the more inelastic the demand for the productd) If the product is a necessity, then the demand tends to be more inelastic The Consumer Surplus is a) the difference between what a consumer wishes to buy and what he can afford to buyb) the difference between what the consumer plans to buy and what he actually buysc) the difference between what the consumers is willing to pay for a product and what he paysd) the difference between what the consumer is able to pay and what he actually paysSuppose the demand curve for notebook is Q = 10,000 – 500P, where Q is number of notebooks per month and P is dollars/notebook. a. Find and graph the inverse demand. Find consumer surplus if the price is $10/notebook. b. Find the point elasticity of demand at P = $10. Hint: use the direct demand curve. What does the number you have calculated tell you?Suppose the demand curve for gasoline is more elastic than the supply curve for gasoline. If the government imposes a tax on gas stations (gasoline sellers), which party (buyers or sellers) will bear more of the tax burden? How will the tax burden change if the government imposed the tax on gasoline consumers, rather than sellers?