Disposable Income 2000 4000 6000 Saving Table 3 (Total) Consumption Autonomous Consumption Induced Consumption

Q: Why does SMC curve cut AVC curve at the minimum point of AVC curve?

A: The change in total cost per unit of change in output is known as short-run marginal cost (SMC).…

Q: A decrease in price and an indeterminate change in quantity are consistent with a:

A: In order to assess if a market is in equilibrium or disequilibrium, we can graph the supply and…

Q: Question 8 True or false. When only one curve shifts, whether it be supply or demand, comparative…

A: The point where the demand and the supply curve intersects each other is the point of equilibrium…

Q: Economic Growth can be illustrated graphically with: A.   The Production Possibility Curve…

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

Q: 9. A consumer has the utility function u(x,y) = x+6y and the price of x is $1 and the price of y is…

A: In the utility function the alternate projects will give the ranking according to the utility to an…

Q: Fred gathered data on the price and quantity demanded of chocolate over the course of a week.  He…

A: A decent elasticity of demandt is a proportion of how delicate the amount requested is to its cost.…

Q: Consider a U.S. Treasury Bill with 270 days to maturity. The face value is $100. If the annual yield…

A: The treasury bills are the government securities which can be easily converted into their liquid…

Q: Sean budgets $30 per week for transportation. To get around, he can either drive his car (D) take…

A: Given ,  Total Income  = 30  Price of Driving = 5 Price of Bus ride = 2  Budget constraint or budget…

Q: 2. Suppose the table represents the production function of both Mexico and Spain. Use the following…

A: Given equation, Y=F(K,L)=AK0.3L0.7 Total output divided by the weighted average of inputs gives…

Q: A debt of 'x' pesos, with an interest rate of 7% compounded annually will be retired at the end of…

A: A sinking fund refers to the creation of an account for keeping the money set aside to pay off a…

Q: 5. When the official dollar price of a foreign currency is set below its equilibrium level, the…

A: Exchange Rate:- We know that The exchange rate represents how much of a currency is needed to…

Q: If Real GDP in the previous period was $15,840 billion, the economic growth rate is ________% in the…

A: In contrast to the nominal GDP growth rate, the real economic growth rate adjusts for inflation when…

Q: Question 9 The table shows the output of bikes and skateboards for Luke and Han (the end points of…

A: Comparative advantage occurs where a country can produce a commodity at lower cost relative to other…

Q: Keynesian economists

A: Keynesian economics is based on ‘ effective demand ‘ which means the level of output /income depends…

Q: 1. Consider an economy that produces and consumes bread and cars. The data for two different years…

A: According to the question, it is given that : An economy that produces and consumes bread and cars.…

Q: A survey was conducted among four consumer-classes as to the relationship between the average price…

A:

Q: How much must I invest today (September 21, 2022) to have P170,000 on January 4, 2024 at 2%…

A: Months between : 21 Sept 2022   To    4 Jan 2024  => 15 months 14 days  = 15.5 months approx…

Q: 8. The factor-price equalization theory and transportation costs Which of the following statements…

A: Costs associated with transportation hinder international trade by limiting the transferability of…

Q: Salads Per Hour 125 100 75 50 25 0 1 I I 10 20 Pizzas Per Hour B 30 с D 35 3840

A: Opportunity cost Opportunity costs are the possible advantages that a person, investor, or company…

Q: In the table below, there are no taxes (so that that real GDP equals disposable income) and no…

A: Marginal propensity to consume(MPC) can be understood as the change in consumption expenditure with…

Q: Capital Goods M P K Consumer Goods 4. Assuming the inner curve is our current production…

A: A production possibility curve represents the potential level of the combination of two goods that…

Q: 16. In the short run, the profit maximization for a firm in a perfectly competitive market would be:…

A: A perfectly competitive market is made up of many sellers and buyers. The commodities in the market…

Q: The most frequently reported price index is O the personal consumption expenditure (PCE) deflator O…

A: Inflation is the sustained increase in the general price level of goods and services in an economy…

Q: What’s a debit?

A: The word debit is derived from an Italian word Debito. A debit is a record regarding money when…

Q: Suppose the economy has a population of 35 million people and a labor force participation rate of…

A: Given  The population of the economy  is 35 million Labor force participation rate (LFPR) =50%  The…

Q: Consider the following statements about interest rate risk assuming that banks have assets with…

A: If your interest rate is lowered, the total cost of your loan could go down as a result. There is…

Q: Calculate the annual worth of a machine that has an initial cost of $35,000, a life of 10 years, and…

A: Given information: Initial cost = $35000 Time = 10 years Interest rate = 15%

Q: Assuming the market equilibrium price for wheat is $5 per bushel, draw the total revenue and the…

A: In economics, total revenue refers to all proceeds from the sale of a specific amount of goods or…

Q: If the price of sugar were to double, would you use less of it? Explain in terms of the determinants…

A: Meaning of Price Elasticity of Demand: The price elasticity of demand refers to the situation…

Q: 3. Which point is much better?* O A, B,D, & F О A&B OE O C O A&D E Good X

A: The production possibility curve depicts various pairings of two items that can be produced in the…

Q: If the price elasticity of demand for gasoline equals 0.3, then qn increase in the price of a gallon…

A: Price elasticity of demand  The quantity requested sensitivity to price is gauged by the price…

Q: With the use of a diagram, explain when a monopoly corporation maximises its profit

A: Competition: When a market has many firms, there will typically be competition between them. The…

Q: Mr. Cruz borrowed P50,000.00 with interest at the rate of 15% payable annually. The debt will be…

A: Given that, Principle, P = 50000 Interest Rate = 15% Time period = 5Years

Q: Table 1 Disposable Income $50,000 Consumption $40,000 Disposable Income $20,000 Table 2 Use the…

A: The Marginal propensity to consume measures the change in the consumption in response to the change…

Q: Use Exhibit to answer question Price PB Po Ps B C Size of tax per unit F Supply Demand Quantity…

A: Answer: The burden of tax/ Tax burden: The burden of tax refers to the amount paid by a consumer or…

Q: Consumer surplus is measured as the area: between the demand curve, the supply curve, and the price…

A: Consumer Surplus can be defined as the surplus or the benefit available to the consumer while…

Q: Consumers view cake as an irreplaceable staple of any birthday party.  Consumers also like to serve…

A: Demand in economics refers to a consumer's desire to buy products and services as well as their…

Q: 2. Find the equivalent annual payment of the ff. obligations at 20% interest End-of-Year Payment 1…

A: Any sum of money subject to a rate of interest will grow over time. As a result, the time value of…

Q: Which of these economic variables is procyclical? O investment spending O unemployment O the credit…

A: Procyclical Variables: In economics, the variable that moves with the GDP or moves in the same…

Q: In this market, the equilibrium hourly wage is , and the equilibrium quantity of labor is Suppose a…

A: A minimum wage is the lowest hourly wage that can be paid to a worker under federal law.The bare…

Q: Total revenue increases of the price of the good A) rises and demand is elastic. B) rises and…

A: The elasticity of demand is the percentage change in quantity demanded divided by the percentage…

Q: Market for Gasoline: U.S. workers increase their use of "work from home" and Zoom. New technology…

A: Equilibrium in the market occurs at the point where quantity demanded is equal to quantity supplied.

Q: A painting from an Italian art gallery bought by a Canadian citizen a month ago, is considered when…

A: The GDP deflator is measured by the ratio of nominal GDP and real GDP. It only considers goods…

Q: n the year 2020, total number of employed was 1,700. There are 110 who were frictionally unemployed,…

A: The unemployment rate refers to the percentage of labor force who does not have a job in hand. The…

Q: What would happen if a product with strong demand had a minimum price that may be charged

A: Equilibrium (E) is the state in which the quantity demanded and the quantity supplied are equal. At…

Q: 2.4 What effect does each of the following have on the supply curve of jeans? A fall in the…

A: When the price of the good decreases keeping other factors constant: it affects the quantity…

Q: What is a business cycle? Explain the four elements of a business cycle and what  happens to…

A: Business cycles are contained purposeful recurrent rises and downswings in the expansive proportions…

Q: 16. In the short run, the profit maximization for a firm in a perfectly competitive market would be:…

A: Profit maximization is the process by which businesses ensure that the best output and price levels…

Q: What do you understand by equivalent and compensating variation? Are Lumpsum taxes beter than unit…

A: Introduction  Compensating variation is the amount of money to given the consumer to completely…

Q: The new iPhone 14 was released last week. You need a P12,000 immediately as a down payment on this…

A: Amount required = 12,000 r = 7% compounding continuously n = 8 years