A website offers a place for people to buy and sell emeralds, but information about emeralds can be quite imperfect. The website then enacts a rule that all sellers in the market must pay for two independent examinations of their emerald, which are available to the customer for inspection. a. How would you expect this improved information to affect demand for emeralds on this website? b. How would you expect this improved information to affect the quantity of high-quality emeralds sold on the website?

Q: An increase in consumer’s disposable income led to a decrease in demand of good X. How would you…

A: Demand is the number of commodities that customers are keen on and able to procure at numerous…

Q: If the current price of a good is $10, market demand is Qd = 400 - 20P,  and market supply is Qs =…

A: Demand: - Demand is the relationship between the quantity demanded and the price of a good. There is…

Q: We have covered market imperfections and their effects during the course. Discuss at least two of…

A: A defective market alludes to any financial market that doesn't satisfy the thorough guidelines of a…

Q: Since the pandemic began, housing prices have risen significantly in northern NY. Discuss whether…

A: An examination of how the housing market and price fluctuations influence the rest of the economy.…

Q: Assume that product X is quantified in the following manner: QDX= -2PX + 0,5PY - 0,2PZ + 1,2I. In…

A: The law of demand follows that other things remaining the same, the quantity demanded of  product…

Q: Refer to the graph shown below, which illustrates a third-party payer market for diabetes screenings…

A: From the given demand and supply curve, Without a third party, the market is in equilibrium when the…

Q: What if there is no demand but a need? For example, can we have no demand for a vaccine because we…

A: The consumers demand a particular good when they derive some satisfaction from consuming the…

Q: Explain how utility could be used in a decision where performance is not measured by monetary value.

A: Utility is resisted as a term used to portray the fulfillment an individual gets from the…

Q: A medical reported that the consumption of this product has many health benefits Describe how does…

A: As a medical reported that the consumption of this product has many health benefits, Describe how…

Q: Suppose that scientists find evidence that proves tattoos improve the body’s immune system. What…

A: Option C If tattoos improve body's immune system, more and more people would want to have tattoos.…

Q: Why is imperfect information a problem in market economies? Give a current example of how imperfect…

A: In economics, a market is considered as efficient when it is operated at the equilibrium level that…

Q: You go on vacation for 14 days to an island in the middle of the ocean that is known for selling…

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

Q: Draw the market for risk, where consumers of insurance supply risk and insurance companies demand…

A: Demand: It refers to the goods and services that individuals prefer to buy in the market. The…

Q: Ralph will consume any health care service just as long as its MB exceeds the money he must pay out…

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

Q: A typical supply curve shows that an increase in the price of a good will cause producers to…

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…

Q: With the help of appropriate diagrams, explain how each of these situations will affect the demand…

A: In an attempt to cut costs, the largest employer in the area increases the coinsurance rate for…

Q: The demand curve for kidneys is downward sloping and the supply curve of kidneys is upward sloping.…

A: We will use the concept such as Price ceiling and rationing to answer this question.

Q: Juanita is deciding whether to buy a suit that she wants, as well as where to buy it. Three stores…

A: Given information: Juanita makes $16 an hour at work.  She takes 30 minutes to shop. She takes same…

Q: The pandemic caused the supply of automobiles to decrease, which increased automobile pric-es. The…

A:

Q: How would each of following changes affect the demand curve for acupuncture? a. The price of an…

A: Hey, Thank you for the question. According to our policy we can only answer 3 subparts per question.…

Q: Willingness to pay Select one a measures the value that a buyer places on a good. bis the maximum…

A: Willingness to pay is the amount an individual to ready to pay for the product.

Q: Sam has an ice cream business in town. The average price of ice cream increases in the city. This…

A: Sam has an ice cream business in town. The average price of ice cream increases in the city. This…

Q: We often find that for major sporting events (playoffs, Super Bowl, etc.) the quantity of tickets…

A: Consumer surplus refers to the difference between the price that represents the maximum willingness…

Q: Barcelona and Los Angeles are similar, except Barcelona has a good public transportation system and…

A: Demand(dd) curve is a downward-sloping curve which shows a negative relationship between the…

Q: TRUE or FALSE. If the statement is correct, write TRUE on your answer sheet. If the statement is…

A: In a market, additional information about a specfiic good will influence the demand and supply…

Q: Commodity Fetishism is said to be a distortion in the relations between people.  What does this…

A: Commodity Fetishism is a Marxist philosophy that says there exists a social relationship between…

Q: Asymmetric information and/or imperfect information can cause two forms of market failure: 1)…

A: Adverse Selection in economics refers to that phenomena when in any transaction between two people ,…

Q: The federal government wants to improve the fortunes of domestic car manufacturers and is…

A: Answer a. Rebates have been shown to be effective in selling products, increasing visibility, and…

Q: b. Sketch the effective marginal revenue curve that your firm faces. c. If the marginal cost of…

A: The table shows various costs : Insurance policies are provided at $6000.Beyond this price,it would…

Q: Give an example of Quality/new goods bias?

A: New good bias is the tendency to not count new goods as a part of price index, and it occurs because…

Q: Other than price, identify one market signal. Show how that market signal influences…

A: The information which is being either passed unintentionally or passively between market…

Q: Tim exercises everyday and eats healthy. Cam is a couch potato and smokes. A health insurance…

A: The main information in the question: *Insurance company not able to differentiate the behaviour of…

Q: Insurance coverage has been shown to diminish the importance of time in the decision about how much…

A: Once a person purchases health insurance, he or she is likely to spend a lesser amount of time in…

Q: information refers to a market where one side (either the buyer or the seller, but usually the…

A: One of the effective ways of approaching asymmetric information is by screening. Screening is the…

Q: if there is a decrease incomes of consumers,demand for head&shoulder shampoos will increase. True…

A: There are two types of goods in the market: (i) Normal goods: Goods that are positively related to…

Q: The "income effect" in the market for aspirin means that

A: In economics, the demand for a good is affected by not only the price of the good but other factors…

Q: Variables that can shift the demand curve  information about Prices of related goods

A: A demand curve is a downward sloping curve which shows an indirect relationship between price of a…

Q: A new medical study reports that washing your hair everyday increases the probability of baldness.…

A: Demand for a product like car and toys is determined by factors like product price, price of rivals'…

Q: If the price elasticity of demand for medical care is estimated to be 0.3, then doctors can raise…

A: Elasticity measures the responsiveness of quantity demanded to changes in price.

Q: Differentiate between cardinal and ordinal approach to consumer behaviour

A: Utility is difficult to measure but economists measure it in two ways: Cardinal utility - Cardinal…

Q: If the consumer income is OR 568, price of good (X) is OR 81.3 and the price of good (Y) is OR 33.7,…

A: As Given Consumer Income = OR 568 Price of good X = OR 81.3 Price of good Y = OR 33.7

Q: The covid 19 pandemic impacted the market for masks. How was it impacted? Discuss and Give examples

A: The face masks market is grown during the covid-19 due to the increased demand for masks in the…

Q: A buyer's willingness to pay for a good is the that good. It measures how much the the good. buyer…

A: "Consumer surplus occurs when the price the consumer pay for the commodity or service is less than…

Q: 3rd party payments often cause the cost of health care to go down does third party payments to…

A: Third-party payments:- Anyone who's not the patient pays for medical care is referred to as a…

Q: George Akerloff focused the market for used cars and discussed an issue later generally called the…

A: Lemons problem: It refers to the problem which is connected with the defective cars. This problem…

Q: If textbooks and study guides are complements, then an increase in the price of textbooks will…

A: Complementary goods:- A complimentary commodity is one that is utilised in conjunction with some…