Economics:
10th Edition
ISBN: 9781285859460
Author: BOYES, William
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 32, Problem 10E
To determine
Effect of urban sprawl on city prices.
Expert Solution & Answer
Trending nowThis is a popular solution!
Students have asked these similar questions
. Given that an economy of a certain country consists of three sectors; Mining (M), Textile (T) and
Chemicals (C). The input – output matrix for the economy is given by:
Mining
Chemicals
Textile
Mining
0.4
0.1
0.1
Chemicals
0.1
0.4
0.3
Textile
0.2
0.2
0.2
Suppose the sector is required to meet an external demand of KES 672 million, KES 224 million and
KES 448 million from the mining, chemical and textile sector respectively, determine the final output.
Some companies use this as an umbrella term to encompass all CSR efforts that make
business more sustainable in the long term, including environmental efforts:
O bottom-line
O ethics
O philanthropic
O sustainability
Shows in table how the average costs of production for semiconductors(the“chips”incomputermemories) change as the quantity of semiconductors built at that factory increases.
a. Based on these data, sketch a curve with quantity produced on the horizontal axis and average cost of production on the vertical axis. How does the curve illustrate economies of scale?
b. If the equilibrium quantity of semiconductors demanded is 90,000, can this economy take full advantage of economies of scale? What about if quantity demanded is 70,000 semiconductors? 50,000 semiconductors? 30,000 semiconductors?
c. Explain how international trade could make it possible for even a small economy to take full advantage of economies of scale, while also benefiting from competition and the variety offered by several producers.
Knowledge Booster
Similar questions
- Companies often choose to build plants compliant with stricter environmental standards when they locate in low-income countries with lax environmental standards. This is because Select the correct answer below: they want to improve the living conditions of people living in these countries designing an industrial plant is a complex and costly task, and so if a plant O works well in a high-income country, companies prefer to use the same design everywhere they want to show local companies that the environmental issues caused by production should be taken seriously and dealt with appropriately they want to have a better record of compliance with environmental laws than do locally-owned plants.arrow_forwardWhich of these statements is not true? O In 1800, less than 10% of the US population lived in urban area OGDP per capita tends to be higher in cities than in urban areas O A good transportation system is a condition for cities to exit A principal city is the largest municipality in a metropolitan areaarrow_forwardPaper and pulp are the fastest-growing sector of the wood products market, as emerging economies of China and India catch up with the growing consumption rates of North America, Europe, and Japan. What should be done to reduce paper use? \arrow_forward
- What are the positive and negative effects of urbanization?arrow_forwardWhich of the following are examples of Pareto-efficient changes? Explain your answers. The Hooterville Police Department implements cost-saving programs without having to sacrifice the quality of their services. O A. Not Pareto efficient, because service quality does not increase with the cost-saving programs. O B. Not Pareto efficient, because services provided by a government agency are public goods. OC. Pareto efficient, because services are provided at a lower cost regardless of the quality of the service. O D. Pareto efficient, because services are provided at a lower cost without making any members of society worse off.arrow_forwardR Imagine that it costs $40 in the United States to produce one ton of soybeans and transport them to market, while it costs $30 in Brazil to produce one ton of soybeans and transport them to market Imagine that it costs $20,000 in the United States to produce one automobile and transport it to maket, while costs $10,000 in Brazil to produce one automobile and transport it to market. Which of the following four arrangements would be most efficient? (Hint: Derived OC from PPF (production) = 1/OC derived from costs to make ) a. The United States should produce everything, since it can produce both soybeans and automobiles better than Brazil can produce them. Ob. Brazil should specialize and produce only automobiles. The United States should specialize and produce only soybeans. Then the two countries should trade with each other. Brazil will send automobiles to the United States, while the United States sends soybeans to the Brazil. Oc. The United States should specialize and produce…arrow_forward
- How should the government initially allocate transferable emissions permits among firms if it wants the target level of emissions to be achieved at minimum cost? O A. Give permits to firms in direct proportion to the amount of emissions each generates. OB. Give more permits to firms that have lower marginal abatement costs. OC. Give each firm the same number of permits. OD. It doesn't matter how the permits are allocated as long as the firms can buy and sell them in a competitive market.arrow_forward100 Game Free-Throw Percentage 80 70 Average Free Trow Percentage 60 50 40 20 10 GAME You can think of the result in any one game as being Paolo's marginal free-throw percentage. Based on your previous answer, you can deduce that when Paolo's marginal free-throw percentage is below the average, the average must be falling You can now apply this analysis to production costs. For a U-shaped average total cost curve, when the marginal cost curve is below the average total cost curve, the average total cost must be_rising v. Also, when the marginal cost curve is above the average total cost curve, the average total cost must be rising v . Therefore, the marginal cost curve intersects the average total cost curve at its maximum FREE-THROW PERCENTAGEarrow_forwardImagine a scenic canyon, visited by many local people as well as tourists from beyondthe local area. Consider a scenario in which a mining company has proposed to the localauthority that it be closed to the public and put into the production of coal. Thinking interms of economics as a way of adjudicating the relative value of one use of the canyon overthe other, what would you need to know in order to make a comparison or assessment?What kinds of quantitative data would inform your decision, and where might they comefrom? What kinds of things might you need to know that are hard to measure? Once youhave listed the kinds of information and data that might be available to inform this decision, do you think it would be sufficient to making this decision, why or why not?arrow_forward
- Communication Equipment Two sectors of the U.S. economy are (1) audio, video, and communication equipment and (2) electronic components and accessories. Suppose in 1998, the input- output table involving these two sectors was as follows (all figures are in millions of dollars). From To Equipment Components Total Output Equipment Components Need Help? Read It 5,800 23,000 90,000 400 Determine the production levels (in dollars) necessary in these two sectors to meet an external demand for $78,000 million of communication equipment and $89,000 million of electronic components. Round answers to two significant digits. $ equipment components $ X millions X millions 29,000 140,000arrow_forwardAccording to figure, the expectation is that transport infrastructure investments will result in transport improvements in terms of capacity, efficiency, and reliability. The related lower transport costs, the shorter transit times and business expansion are making economic activities more productive and competitive.’’So, how can transport systems and transport improvements impact the commodity and labor markets in the regional economy? Please explain the question by commenting on main goals of transportation system.arrow_forwardSprawl is an example of market failure when: A. The elasticity of urban land growth with respect to population is greater than one. B. It can be shown that the extent of the city is associated with a specific cause or causes of market failure, such as externalities. O C. It can be shown that the growth of the city is associated with less dense development. D. The elasticity of urban land growth with respect to commuting cost is zero.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
