If competition also known as perfect competition rarely exists in the economy, then why study such a model? Should we study “ideal types” even though they may not be duplicated in the real-world economy?

Q: If short-run equilibrium output equals 10,000, the income-expenditure multiplier equals 10, the mpc…

A: The expenditure multiplier shows what influence an adjustment of independent spending will have on…

Q: a) What is meant by terms of trade? b) How does a tariff on imports affect a country's terms of…

A: The terms of exchange is the overall cost of commodities regarding imports and is characterized as…

Q: Use the expenditure details of a small economy to answer the questions. All the autonomous…

A: Given  C =$100+0.9(Y-T) I=$20 G=$80 T=$0.05Y X=$40 M=0.1Y Here, C is consumption expenditure, I is…

Q: Suppose that new type of mining equipment replaces  low-income miners, but require highly skilled…

A: Income is the amount of money that a person receives after working in a company. Income is also…

Q: 1. Problems and Applications Q1 A large share of the world supply of diamonds comes from Russia and…

A: Cartel agreement: The ordinary reason for the instability of cartels is that a successful cartel…

Q: As a country accumulates additional units of capial stock it will experience ever decreasing gains…

A: Productivity gains is the increase in output from employing additional units of input

Q: This problem asks you to analyze the IS-LM model algebraically. Suppose consumption is a linear…

A: Given information: Linear function, C(Y - T) = a + b (Y - T) Investment linear function, I (r) = c -…

Q: Based on the model of demand and supply, the demand and supply functions are given at the following…

A: Given, P = 4QS  QD = 500 – P ; 500 - QD = P Using the above, we get, 4QS = 500 - QD…

Q: How is the opportunity cost of holding money determined? Question 18 options: by consumer income…

A: Opportunity cost is the cost of next alternate which is foregone.

Q: Incorrect Question 1 A country has 100 million people, 80 million of whom are adult…

A: People who are working or have a job are considered employed and people who are looking for a job…

Q: Which of the following is NOT an aspect of income inherent in the economic life cycle?   Question 35…

A: The measure that depicts the fluctuations that occur in the economy between periods of expansion and…

Q: employee who owns an individual Disability Income policy is injured in an automobile accident and…

A: The term disability income (DI) insurance alludes to an insurance policy that turns out revenue to…

Q: By giving examples, briefly discuss i) the limitations of unit roots & cointegration approach and…

A: Answer :-      INTRODUCTION:Here we will explain the root limitations, the method of integration…

Q: Suppose that between 2015 and 2016, nominal GDP grew by 7%. If the price level grew by 2.5% and…

A: Given; Nominal GDP growth rate= 7%Price level growth rate= 2.5%Population growth rate= 2

Q: Billions of dollars) (Billions of dollars) 1,789 9,817 1,863 10,128 2,011 10,470 2,160 10,961 2,293…

A: (1) Revenue as % of GDP = (Revenue*GDP)100 Expenditure as % of GDP = (Expenditure÷GDP) 100 Year…

Q: Use the linear demand and supply curves shown below to answer the following questions.You must show…

A: Answer: According to the above figure, the equilibrium occurs at point E. The corresponding…

Q: Why is credit considered a key to economic development? Give an example on how credit helps poor…

A:

Q: The relationship between the ticket price and the number of spectators is presented in the table:…

A: The market is in equilibrium where the quantity demanded equals the quantity supplied and the…

Q: Suppose that country A using one unit of labor can produce 80 pounds of apples or 20 pounds of…

A:

Q: How much should be deposited in an account that will earn at an annual rate of 9%, compounded…

A: The interest charged on a loan or deposit is known as compound interest. This is the most often…

Q: linear demand and supply curves shown below to answer the following questions.You must show all…

A: What is your consumer surplus? A consumer surplus (CS) happens when the cost shoppers pay for an…

Q: Consider the long-run theory of investment, saving, and growth. In the long-run version of our macro…

A: Real GDP is the value of final goods and services produced in the economy within a given period of…

Q: A city’s hotel tax used to be 20%. Today it is 12%. Total hotel tax revenue today is greater at a…

A: Tax Revenue refers to the sum of money that the government collects from the firms and public over a…

Q: A company is currently using its two inputs L and K, where MPL - 3.2K04L 02 and MPK - 1.6K -0.6 0.8…

A: At the optimum and efficient point we know: MRTS = Price Ratio of the inputs MRTS = MPLMPK = wr…

Q: Problem 4 Note: Unexplained answers will NOT be graded An han estated the demand eption of a certain…

A: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-parts at a…

Q: In the Solow growth model with population growth and technological progress, the economy experiences…

A: Hi! Thank you for the question. As per the honor code, We’ll answer the first question since the…

Q: Measures of Cost for Charlie's Chocolate Factory Quantity (Boxes of Chocolates) Variable Costs Total…

A: Total cost is a sum of fixed cost and variable cost.

Q: Provide specific real life example (Quanti and quali data) for equilibrium prices and quantity

A: Demand and supply are two market forces which determine the price and quantity level .  Market…

Q: What is laissez-faire theory and is it applicable to the economy? Why and why not?

A: Laissez Faire theory is free form of economy where the government intervention is absent in the…

Q: Describe three factors that will cause the banking system not to be able to reach the potential…

A: The multiplier effect is usually denoted as the amount of the decrease or the increase in the…

Q: 8. Which sentence is wrong about business cycle? a. It is the change in the GDP in the short run…

A: Dear student, you have asked multiple questions in a single post. In such a case, I will be…

Q: 5. The slope and position of the long-run aggregate supply curve Suppose the Fed doubles the growth…

A: Aggregate Supply curve is the sum of all the supplies within a country over a period. It is upward…

Q: $500 Houses Conuer spending $4006 hand written plz T Imports -$100 Goverment Government Purchases…

A: The circular flow of income, sometimes known simply as the circular flow, is a model of the economy…

Q: Costs 0 MC D ATC

A: The firm will shut down it's operations and exit the market at a point for a competitive firm is…

Q: 2- Who is risk aversion?

A: In economics, people make their decision based on their behaviour of understanding market…

Q: Assume that the labour market for mechanics is competitive and that it is differentiated into two…

A: The labor market is the dwelling where the supply and the demand for jobs meet, with the labor or…

Q: 1. Assume a specific mathematical Lagrangian objective function associated with constrained utility…

A: Given information Utility function L=X0.5Y0.5 Budget constraint 10=0.50X+2Y

Q: Question 16 ATC ATC₁ Quantity of Output In the above diagram, when does the firm experience…

A: When a company's manufacturing process becomes more efficient, it benefits from economies of scale.…

Q: Task 2: Suppose Melvin's Bank starts with the balance sheet in Table 9.4A and the income statement…

A: The balance sheet lists a company's assets, liabilities, and long-term investments. Investors…

Q: Question 1 20 Output (units per day) 15 10 5 U 9 TP b a 0 1 2 3 4 5 6 Labor (workers per day) In the…

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

Q: The federal government is considering three sites in the National Wildlife Preserve for mineral…

A: The term "cash flow" refers to the total amount of cash and cash equivalents received and expended…

Q: Portfolio ABZ has a daily expected return of 0.0634% and a daily standard deviation of 1.1213%.…

A: Introduction Value at risk ( VaR) is the measurement of worst case downside risk to an investment or…

Q: We are sitting in an "original position" behind a "veil of ignorance." What political philosophy is…

A: This a MCQ .

Q: Consider the estimated equation from Example 4.3, which can be used to study the effects of skipping…

A: The term "approximation" is used to refer to the process of describing a measurement that approaches…

Q: engineer must recommend one of two machines for integration into an upgraded manufacturing line. She…

A: Present worth is a proportionality technique for examination where a task's incomes are discounted…

Q: what is the relationship between government stablity and higher education

A: Education is a very good predictor of results in life, including favorable attitudes and…

Q: A contractor is considering the purchase of a set of machine tools at a cost of $50,000. The…

A: Present worth represent the value of asset or any goods and services after the depreciation and the…

Q: In terms of being digitally connected, Canadian consumers:   O A. have generally chosen to back…

A: 94% of Canadians have access to the internet. At least 50% of all Canadian internet users spend more…

Q: Under all other ideal conditions, changing which party receives property rights in a given dispute…

A: Under all other ideal conditions, changing which party receives property rights in a given dispute…

Q: endy decides to open her own business and earns 70,000 in accounting profit the first year. When…

A: The measure that depicts expenses that are incurred by a business for carrying out its day-to-day…