illustrate graphically the effect of the following factors on the aggregate demand (AD) curve:   a) Interest-rate increases when the economy is good. b) ringgit slumps due to the external factors.

Q: 1A. What is the opportunity cost of moving from point A to point B? 1.B. What is the opportunity…

A: Opportunity cost shows the forgone units of one good in acquiring the other good.  Opportunity cost…

Q: If the marginal cost of a cup of tea is greater than its marginal benefit, then to increase…

A: Marginal benefits are the maximum amount a consumer will pay for an extra good or service. A…

Q: he price of a new car is $20,000. Assume that an individual makes a down payment of 25% toward the…

A: Amortization refers to the repayment of a loan over a given time period at equal intervals. The…

Q: Suppose a typical American consumer purchases three goods, creatively named good A, good B, and good…

A: Given information: A consumer purchases three goods, creatively named good A, good B, and good C.…

Q: Approximately, what is the value of (P) if A=420, n=13 years, and i= 12% per year? O a. 2240 Ob.…

A:

Q: Intel and Applied Micro devices are the 2 major producers of CPU chips used in personal computers.…

A: Pure strategy Nash Equilibrium: Nash equilibrium with 2 players is the strategy profile where both…

Q: K -x+14x+60 The cost of renting a DVD is $2, and so the total cost of renting x DVD's is $2x.…

A: The Total Benefit of production, in the instance of a company's production decisions, would be the…

Q: 3. Throckmorton's room overlooks, from some distance, a major league baseball stadium. He decides to…

A: Total cost is the sum of fixed cost and variable cost.  Fixed cost is the cost that remain fixed and…

Q: a) Construct an opportunity loss (regret) table by completing the following table. Small Regular…

A: Opportunity loss(regret) = Return on most profitable investment - Return on chosen investment…

Q: The richest 20% of the population in Economy B has approximately ______% of the economy's income.…

A: Lorenz curve shows the inequality if wealth or income among the population.  The X axis of Lorenz…

Q: Which of the following would increase current Aggregate Demand in an country? Select one: a)…

A: The entire amount of products and services that families, businesses, and the government are willing…

Q: Which of the following shift the market demand curve for a specific good? The number of consumers.…

A: Market Demand: As In a market there are many buyers. Hence for a given market price, they have their…

Q: For re equilbrium of a currency backed by commercial paper, which is the best option to follow?…

A: The currency is backed by commercial paper means that the value of the currency is tied to the value…

Q: What is the change in GDP according to the *****income**** approach? How do the inputs that  make up…

A: GDP of a nation: Gross Domestic Product or GDP signifies the sum of the values of all end…

Q: The opportunity cost of moving from point E to point B in the above picture is

A: Introduction The next best option is frequently referred to as opportunity cost. This loss of gain…

Q: Is it true of false that the classical errors in variables (CEV) assumption is that the measurement…

A: Classical Errors-in-Variables (abbreviated as CEV) refers to a measurement model of error where the…

Q: (11) Assume two firms with the same constant average and marginal cost, AC = MC = 5, facing the…

A: Introduction When several enterprises offer equivalent competitive goods or services, monopolistic…

Q: Discuss The relationship between change in price and total revenue depends on the elasticity of…

A: Introduction An elastic demand is one in which the change in quantity demanded due to a change in…

Q: Katherine D’Ann is planning to finance her college education by selling programs at the football…

A: A breakeven point is utilized in multiple areas of business and finance. In implies the production…

Q: Assume that good Z is an inferior good for a consumer. If the consumer's income increases, then A.…

A: “Since you have posted multiple questions, we will provide the solution only to the first question…

Q: A competitive firm has a marginal cost function CM = 6 + 4q and market price is P = $12. a) What the…

A: A perfectly competitive market refers to a market in which there are a large number of buyers and…

Q: what happens when we move between two efficient points in a production possibility curve?

A: PPC is the short form of Production Possibility Curve.  PPC shows the production possibility of two…

Q: Which of the following would be an expenditure reducing policy? Select one: a) Increase in…

A: A macroeconomic tool used to assess and analyse a country's overall economic activity or total…

Q: Assume two firms with the same constant average and marginal cost, AC = MC = , facing the market…

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

Q: Please Summarize all parts in 3 paragraphs ( each part= paragraph) Part one: What Is Price…

A: Elasticity is a measurement of how sensitive a good or service's supply or demand is to changes in…

Q: Question: Which strategies are the dominant ones for Spotify and Joox?

A: Dominant strategy is the strategy that yields higher payoff as compared to the other and this…

Q: An efficient market for risk, such as an insurance market, is MOST likely to exist: a. when the…

A: The expected returns from an investment is consistent with the risk of that investment in an…

Q: Which of the following is not a use of the concept of terms of trade? Select one: a) Current price…

A: The amount that a country may spend on imports with a certain amount of exports is determined by the…

Q: If the slope of the nominal yield curve is steeper that the slope of the real yield curve, market…

A: A graph of a yield curve shows the interest rates of assets with comparable credit ratings but…

Q: What is the intuition behind the assumption that production functions are characterized by…

A: When the quantity of a single production element is progressively raised while maintaining the same…

Q: (d) If we gave him more clothes, his utility will increase.

A: Budget line is used to plot various combinations of two goods which the consumer demand with his…

Q: Peanut crops have been destroyed by fungus.  Consumers are substituting almond butter for peanut…

A: The crop of Peanut is failed due to fungus. So, the cost of Peanuts would rise. In turn, the raw…

Q: If Japan levies tariffs on U.S. goods entering Japan, this will tend to: O a. damage U.S. producers…

A: An import tax or levy is known as a tariff and is levied by the government. Tariffs are primarily…

Q: True or false  Microeconomics deal with the individual concept of an economy.

A: Microeconomics is basically a branch of economics that focuses on the individual concepts of an…

Q: Describe how taxes can lead to efficiency losses. Your answer should include a graph and an…

A: Taxes lead to efficiency loss which is known as deadweight loss. It is lost surplus of consumer and…

Q: (a) A natural disaster causes extensive damage to homes, bridges, and highways, leading to increased…

A: A) Due to a natural disaster, it would be crucial to building the infrastructure again which would…

Q: Gilbert works for a local food company, where he earns w for up to 40 hours of work each week, and…

A: Gilbert earns w for up to 40 hours of work each week and then 1.5w for any hours worked overtime.…

Q: e are interested in analysing the effect of the lockout laws introduced in some areas of the Sydney…

A: Given regression model viol_inc hat = 33.21 (5.29) + 12.43lockout (7.01) – 4.19Yr2015 (2.98) – 3.32…

Q: Explain the determinants of the aggregate supply (AS) and describe how the AS curve will shift when…

A: Aggregate supply from the economics perspective can be defined as the total supply of goods or…

Q: Suppose Musashi buys a new tool that enables him to produce twice as many tea towels per hour as…

A: Opportunity cost is the cost of producing one good in terms of other.  Comparative advantage is when…

Q: Explain how the monetary policy influences banks' lending behavior. Show how an open market purchase…

A: A monetary policy is a monetary authority’s principle of conduct that changes the money supply in…

Q: A competitive firm has following SHORT RUN cost function: C = 4 + 2q3- 4q2 + 20q Answer: (a) Obtain…

A: Given  Short-run cost function C=4+2q3-4q2+20q                .... (1) The formula for the average…

Q: 1. Assume a market for a normal good is currently in equilibrium. If the government increases the…

A: In economics, equilibrium refers to a state where the quantity of a good or service supplied by…

Q: 2. Interest rates are 2% in Japan and 4% in the United States. The current exchange rate is 120 yen…

A: Given: The interest rate in J= 2% The interest rate in U= 4% Current exchange rate = 120 yen per…

Q: 12. For each of the following production functions, graph a typical isoquant and determine whether…

A: An isoquant is a graphical representation of a production function. It represents the different…

Q: Assume that a country’s economy is in a short-run equilibrium and the actual unemployment rate is…

A: A recession is the period of time when the economy has drastically slowed or contracted. A recession…

Q: Determine the difference between the capitalized cost of the timber and steel penstock for a…

A: Following is the given information: The first cost of the Timber = Php 50,000 The first cost of the…

Q: Assume that the price elasticity of demand for the premium version of NBCUniversal's streaming…

A: Elasticity refers to a measure of how responsive the quantity demanded or supplied of a good or…

Q: Two numerically controlled drill presses are being considered by the production department of…

A: Future worth (FW) is the value of a present asset at a future date based on an assumed rate of…

Q: 2. Consider a Cournot duopoly with a demand function of p=10-Q (where Q=9₁ +9₂) and a constant…

A: In the Cournot Model, firms compete on the basis of output. A firm assumes that other firm will…