In the PPF below, if the economy moves from point A to point B, opportunity cost will A Hybrid cars decrease. increase. not change. B Motorcycles F D E

Q: If there is no tax placed on the product in this market, producer surplus is the area a. C + D + F.…

A: The price a person is willing to pay for a good and the market price for that good are separated by…

Q: D08

A: We know that Local Currency Settlement (LCS) implies the settlement of a reciprocal exchange between…

Q: Which of the following production bundles would be considered efficient? P-cakes 60 a b 50 C 44 40…

A: Here, the given graphs shows the production possibility curve with two goods as Pancakes and Bacon.

Q: Job-specific human capital In this problem, based on a simplified version of the model in…

A: There are two types of employees - Sickly & Robust  Probability of Sickly getting ill = ps…

Q: Suppose you have been hired as a management consultant by a major oil company to help it optimally…

A: "GDP or gross domestic product represents the market value of all the final goods and services…

Q: Consider a small open economy country that produces cars. The world price of cars is less than the…

A: In an economy, if the world price is less than the autarky price, consumers have an incentive to…

Q: Local party organizations O have more power than their western European counterparts. O are…

A: In electoral process the political parties are at the national, state, and local levels. Local…

Q: If you start preferring one good over the other how does your indifference curve change, does it

A: Introduction Indifference curve shows the locus of the tangency of different combinations of…

Q: In five years, P18,000.00 will be needed to pay for a building renovation. In order to generate this…

A: Sum required in future = 18000 Total Time Period = 5 years  Number of Annual Payments to be made = 3…

Q: Is there something special or distinguishing about the good or service that sets it apart from…

A: Product differentiation is a marketing tactic used to set a company's goods and services apart from…

Q: Given the production function y =( lp +Kp)1/p , what is the technical rate of substitution, the…

A: Production function represents a relationship between quantities of input and output of goods.

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: How does free trade bring up scenarios where businesses can compare employees from different…

A: Trade is the term used to describe the exchange of commodities and services between economies. Trade…

Q: efer to Figure 9-2. With trade, total surplus is a. $15,520. b. $3,240. c. $7,760. d. $6,480. PRICE…

A: Answer: Total surplus: Total surplus refers to the sum of consumer surplus and producer surplus.…

Q: 4. Which point represents underutilization? * A B OE O A&B O A, B,D,& F O C O A&D E Good X

A: A graph showing the possible manufacturing combinations of two items is known as a production…

Q: A consumer has a utility function u = axy. Income is I and the price of x is 4 while the price of y…

A: Given  Utility function of consumer  u =axy      ..... (1)  Income = I Price of x Px =4 Price of y…

Q: Which of the following functions is a quasi-linear utility function? Select one: O a. min(291,392)…

A: Utility function shows how consumption of goods  and services create satisfaction, called utility.

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: Which unemployment measure tells us if people are searching longer than usual to find a job?   How…

A: The U-1 measure of unemployment tells us the number of people who have been unemployed for at least…

Q: Foreign Direct Investment is viewed by some economic proponents as a great boost to the Balance of…

A: A corporation or individual from one nation makes a financial investment into a company in another…

Q: In how many years will a sum of money triple itself at 12% compounded annually?

A: Simple interest is used for calculating interest to be charged on a loan.

Q: Suppose treatment for traumatic brain injuries allows treated children to live an additional 25…

A: Utility: The utility is an economic term that refers to complete satisfaction or profit from the…

Q: Back in 2007, William Beeny, the 81-year-old founder of a quirky roadside museum devoted to proving…

A: A Vickrey closeout or sealed-bid second-cost sell off (SBSPA) is a sort of sealed-bid closeout.…

Q: hich of the following groups is most harmed by unanticipated inflation? Select one: a.Those whose…

A: Inflation refers to the sustained rise in the general price level. It reduces the real value of…

Q: At which point does the SMC curve cut the SAC curve?

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

Q: A consumer of two goods has indirect utility v(p, w) = -1/2 P₁ + P₂ (a) Find the indirect…

A: In the study of economics, the term utility can be defined as the total satisfaction or benefit that…

Q: Suppose that Sony Corporation has developed a new all in one, easy to use, big screen computer / TV…

A: Given,  Two Players : Sony and Samsung Sony has developed a big screen computer/TVDemand for BCTV  :…

Q: group of friends decided to save money so they can travel out of the country after 5 years. The plan…

A: Given  The friends are making semi-annual deposits of $10,000 at end of every semester starting 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: Consider a perfectly competitive market with 1000 firms. The cost function of each firm is C(q) =…

A: Given  Total number of firms = 1000 The cost function of each firm: C(q)=0.025q2+200…

Q: Importance of price elasticity

A: Price elasticity measures how responsive a good's supply and demand are to price changes. It is…

Q: 2. Suppose a new miracle pill is discovered that increases both the marginal health effects of…

A: Since you have asked us only to answer parts C and D, we will be answering all the parts since we…

Q: Which of the following people are correctly classified according to the Current Population Survey?…

A: The labor force includes the employed and unemployed workers. People who are neither categorized as…

Q: other steps could be taken to make people more knowledgeable about the journey that food takes from…

A: Food is a material that is mostly made up of nutrients such as protein, carbohydrates, and fat and…

Q: How has globalization impacted the American economy? (Check all that apply)   the secondary sector…

A: When talking about globalization, it can be said that it is the economy term that is used to explain…

Q: 8. Jones Corporation borrowed P9,000 from Brown Corporation on Jan. 1, 1978 and P12,000 on Jan. 1,…

A: Cashflow shows the stream of cash we get within the period. It includes the cash paid and cash…

Q: The federal government (1) encouraged the development of the savings and loanindustry, (2) virtually…

A: The federal government has power of delegating the power to the elected members of the states.  i).…

Q: In five years, P18,000.00 will be needed to pay for a building renovation. In order to generate this…

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

Q: Dina's Diner only produces sliders and hot wings. Can you explain the opportunity cost pattern as…

A: Opportunity cost measures the decrease in the production of one good due to an increase in the…

Q: Mr. Padilla agrees to pay P1,300.00 at the end of each month for 20 years, in purchasing a house.…

A: Formula for the present value of this ordinary annuity (payments are made at the end of the year) P…

Q: This country only produces pancakes and bacon and this is the PPC. The opportunity cost of moving…

A: A schematic diagram of the various quantities of a product that a company or economy can create…

Q: Given the production function Y-AK0.3 0.7, if an economy's capital per worker k is $27 thousand, and…

A: Given information: Y = A K0.3L0.7  ----------> Production function Where Y is output, A is total…

Q: BigTechs are threat to banks in both traditional retail banking activities (e.g. household and…

A: Traditional banking is used to describe banks having a local banking licence and a physical…

Q: 1. Consider the following production function: Y=F(K, L) = A(2K + 3L) Does this production function…

A: Returns to scale refer to the change in the total output due to the change in the proportionate…

Q: fer to Figure 9-1. Relative to the no-trade situation, trade with the rest of the world results in…

A: In monetary economics, the no-trade hypothesis expresses that if. markets are in a condition of…

Q: Suppose the supply curve for cucumbers is perfectly inelastic. The government applies a specific tax…

A: When the supply curve is perfectly inelastic then it is parallel to the vertical axis. Perfectly…

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: 1. What is the annual rate of interest if P265 is earned in four months on an investment of P15,000?…

A: The application of economic principles and calculations to engineering projects is known as…

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: You are maxiimizing utility when :A)(MU of X)/(P of X) < (MU of Y)/(P of Y). B)(MU of X)/(P of X)…

A: By maximizing utility, the consumer will choose the good that has the highest marginal utility at…

Welfare Analysis

Welfare analysis of the society is related to welfare economics. From the economic point of view former welfare economics refers to that subject which uses the techniques of microeconomics to analyse and evaluate the welfare at the economic or aggregate level.