If the Nigerian government were to enforce a price floor of US $20 a) Both Starlink and FiberOne would be out of business. b) More Nigerians would have acceaa to the internet. c) There would be no changes experienced by both consumers as well as the internet service providers. d) There would be more demand for internet services
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If the Nigerian government were to enforce a
a) Both Starlink and FiberOne would be out of business.
b) More Nigerians would have acceaa to the internet.
c) There would be no changes experienced by both consumers as well as the internet service providers.
d) There would be more
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- The price elasticity of demand for air travel differs radically from first-class (1.3) to unrestricted coach (1.4) to restricted discount coach (1.9). What do these elasticities mean for optimal prices (fares) on a cross-country trip with incremental variable costs (marginal costs) equal to $120?In 2008 a car manufacturer sold 10,000 units of its leading model at N10,000. After deducting operating costs, dealers’ costs and all other variable cost this produced a surplus of N4,000 on each unit sold. Due to the recession, sales slump in early 2009 and the marketing director advises a price cut of N2000, arguing that this makes sense because the Own Price Elasticity of demand is –1.5. Calculate the amount of surplus that would be generated by the manufacturer in 2009 if the marketing director is correct and her recommendation is accepted.The domestic supply and demand curves for hula beans are as follows: P = 20 + Q (supply) and P = 250 – Q (demand) where P is the price in cents per pound and Q is the quantity in millions of pounds. Ireland is a small producer in this market where the current price is 50 cents per pound. The Irish Government is considering a tariff of 50 cents per pound. The increase in producer surplus after the tariff has been imposed is equal to A. 2750 B. 4000 C. 2500 D. 1500
- In case of regulated prices, only the following statement is false a. Removal of price floor will decrease the quantity traded b. Whenever price floor is implemented, the demand for a product is generally less than its supply c. In September 2021, the government decided to hike the minimum support price of wheat by 2%. This is an example of price floor d. In June 2021, the district health department reduced the service charges for Covid 19 vaccine to Rs.150. This is not an example of price floorGeorge has been selling 8,000 T-shirts per month for $8.00. When he increased the price to $9.00, he sold only 7,000 T-shirts. Which of the following best approximates the price elasticity of demand? a. -0.5667 b. -1.02 c. -1.1333 d. -1.2467 Suppose George's marginal cost is $3 per shirt. Before the price change, George's initial price markup over marginal cost was approximately.__________ a. 0.625 b. 0.6875 c. 0.375 d. 0.5625 George's desired markup is____________ a. 0.8824 b. 0.7941 c. 1.3235 d. 0.9706 Since George's initial markup, or actual margin, was _______ than his desired margin, raising the price was_______Discuss the theoretical and empirical issues regarding the supplier-induced demand theory.
- George has been selling 8,000 T-shirts per month for $8.00. When he increased the price to $9.00, he sold only 7,000 T-shirts. Which of the following best approximates the price elasticity of demand? a. -0.5667 b. -1.02 c. -1.1333 d. -1.2467 Suppose George's marginal cost is $3 per shirt. Before the price change, George's initial price markup over marginal cost was approximately _________ George's desired markup is ___________ . Since George's initial markup, or actual margin, was ___________ than his desired margin, raising the price was _________ .The domestic supply and demand curves for hula beans are as follows: P = 50 + Q (supply) and P = 200 – Q (demand) where P is the price in cents per pound and Q is the quantity in millions of pounds. Ireland is a small producer in this market where the current price is 60 cents per pound. The Irish Government is considering a tariff of 40 cents per pound. The quantity of hula beans imported into Ireland after the tariff is A. 100B. 50C. 130D. 90Star wars coffee mugs are traded in a competitive world market with a price of R180 per cup. Unlimited quantities are available for import into South Africa at this price. On average 10 000 kg are traded each month. The elasticity of demand has been estimated at -0.81 and elasticity of supply at 3.51. Derive the demand equation for the star wars coffee mug. . . A. Qd = 12 800 - 45P B. Qd = 15 200 - 35P C. Qd = 18 100 - 45P D. Qd = 20 000 - 50P Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
- Answer the question on the basis of the accompanying demand schedule. Price Quantity Demanded $15 1 13 2 11 3 9 4 7 5 At what quantity demanded would the price and marginal revenue be equal? Group of answer choices Price and marginal revenue would be equal at all quantities demanded. at 2 units. at 1 unit. Price and marginal revenue would not equal at any quantity demanded. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.Market for TVs are perfectly competitive. Assume TV supply is point elastic and upward sloping Government imposes consumer tax upon TVs. If point elasticity of demand is inelastic, is deadweight loss generated by the tax higher or lower relative to where the point elasticity of demand is elastic.Consider the following given details in relation to deman for air travel to thailand Price(Rs. Holyday Markers (Qd) Business Travelers(Qd) RS.36,200 92,600 48400 Rs.44,200 58200 42,600 Calculate the price elasticity of demand for both groups of travelers and interpret the elaticity coefficients.