Please solve using a national income accounting: An increase in disposable income will increase in consumption or savings    An increase in consumption or savings  will increase in disposable income

Q: Tomato Farms is selling tomatoes in a purely competitive market. Its output is 25,000 bushels, which...

A: Firms in perfect competition are price takers who maximizes profit by producing at P=MC 

Q: C D Quantity Refer to the graph shown. Between points C and D, marginal utility is: Marginal Utility

A: Total utility is the total amount of satisfaction that a consumer derives from the consumption of sp...

Q: Price falls from $8.50 to $7.75, and the quantity demanded rises from 900 units to 970 units. What i...

A: ELASTICITY of demand refers to the percentage change in quantity demanded due to percentage change i...

Q: Is there hope for a country to grow in economy

A: Growth Rate: The magnitude of the growth rate can be determined by dividing the absolute change by t...

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A: Loanable funds:-  The loanable funds hypothesis can be explained as a market interest rate concept. ...

Q: Consider the daily market for hot dogs in a small city. Suppose that this market is in long-run comp...

A: In competitive market equilibrium occurs at the intersection of demand and supply curves.

Q: Consumer has utility function In(c1)+beta"In(c2), where beta=1. Interest rate i=50%. Income y1-10 an...

A: Utility function : ln(c1) + ln(c2)      (As Beta = 1 ) y1 = 10 ,  y2 = 50  Budget Constraint in peri...

Q: 9. If you believe that stock prices follow a random walk, then probably you a. do not believe that t...

A: In the mentioned question we have to tell if we believe in the stock prices then what do we believe ...

Q: Graphically explain the negative effects of quotas. How about subsidies? Label and explain results...

A: Subsidy, an immediate or aberrant installment, financial concession, or honor allowed by an administ...

Q: Consumer has utility function ln(c1)+beta*ln(c2), where beta=1. Interest rate i=50%. Income y1=10 ...

A:

Q: 10 Supply 7.5 2.5 Demand 200 400 600 800 Q If consumers were forced to pay $7.50 per unit for the go...

A: Consumer surplus refers to the area above the price and below the demand curve. It is the difference...

Q: 1 Francesca buys pencils and erasers at 10$ and 9$ per amount. Francesca has an income of 90$. There...

A: Tax refers to the money collected by the government from the firms and individuals for spending on v...

Q: Notice that real GOP trends upward over time but experiences ups and downs in the short run. A perio...

A: Real GDP is a macroeconomic statistic that measures the value of the goods and services produced by ...

Q: If it is not profitable for more than a single firm to be in an industry, we have an example of Sele...

A: A monopoly is a single seller selling unique good in the market.

Q: 4. A man purchase government bonds at P750 each which mature in 10 years and have a face value of P1...

A: Given the present value, PV = P750 Time, n = 10 Future value, FV = P1000  

Q: 3. The effect of negative externalities on the optimal quantityof consumption Consider the market fo...

A: Equilibrium quantity and price is where the demand(private value) is intersecting with supply(privat...

Q: The following data characterises the macroeconomic conditions of a hypothetical еcoпотy: C = 50 + 0....

A: Given:- C=50+0.8Yd I=100 G=T=75 To calculate:- Equilibrium income=? Multiplier value=? Please find t...

Q: The threshold productivity to become an exporter is       A.higher than the one to serve the domesti...

A: The answer is - A.higher than the one to serve the domestic market

Q: The table below shows the production of tobacco in the US, in millions of pounds. Tobacco production...

A: The average rate of changes has to find out on the basis of given data of year and production of tob...

Q: In each of the following cases, calculate the values of MPC, MPW, and the spending multiplier. Enter...

A: Spending multiplier: - it is a fraction that shows the magnitude of the change in national income du...

Q: True or False The slope of the total cost curve is equal to marginal cost, or the change in varia...

A: Total cost It refers to all the cost or expense that is incur in a production process.It is given by...

Q: a. Draw the MSB and MSC curves on the graph below, assuming that the external benefits are estimated...

A: Hi! Thank you for the question, as per the honour code, we are allowed to answer three sub-parts at ...

Q: If price is increased from $3 to $4 in the graph above, consumer surplus will fall by:

A:

Q: For each of the following years, determine the real interest rate. Find the difference between this ...

A: Please find the answer below.

Q: Consider the Canadian economy starting at long-run equilibrium. Evaluate the following statement and...

A: In an economy, government requires from new firm to adopt green power sources for the production of ...

Q: Determining the Present Value for a Decreasing Annuity How much money must you deposit now at 6% int...

A: The given values are as follows: Interest rate = 6% Quarterly interest rate = 6%/4 = 1.5% Annuity, o...

Q: A price floor is: O the maximum price that a seller can charge in a market. the minimum price that a...

A: Price floor is a situation when the price charged is more than or less than the equilibrium price de...

Q: years, 9. Compute the Human Development Index (HDI) in a country with a life expectancy of 80 mean y...

A:

Q: r=0% on deposits. Consumer needs to borrow $50 loan and the consumer has uncertain income of y=50,80...

A: Expected income- it is when there is uncertain of income and there is chances of occuring different ...

Q: Imagine yourself running a pizza restaurant over a short term horizon. Think about the following pot...

A: The amount of all costs brought about by a firm in creating a specific degree of result.

Q: 3). Economist Abba Lerner proposed a tariff on oil imports. The tariff is designed to reduce depende...

A: One of the economists named Abba Lerner once proposed a tariff on oil imports that tend to equal 100...

Q: U.S. import transactions create:    a foreign demand for dollars and the satisfaction of this demand...

A: International trade helps in integration of the world economy through trade and commerce. Internatio...

Q: Jack buys apple at 4$, firts 5 amount of orange at 5$ , and any amount above 5 amoun is charged 10$....

A: The budget set shows different combinations of the consumption bundles that are feasible for the ind...

Q: Problem Given the following information about the economy of a country. Consumption function C = 85 ...

A: Equilibrium employment level is achieved when Aggregate demand and aggregate supply are equal . And ...

Q: What makes the Lincoln Electric system so successful in the United States?

A: In the United States, Lincoln Electric has had a lot of success.Their success is aided by the incent...

Q: A two-firm coal cartel that produces at a constant marginal cost of £22 faces a market inverse deman...

A: The correct answer is given in the second step.

Q: Assume the market interest rate is 8% per year and inflation averages 5% per year. calculate the per...

A: those type of items that have a limited life, their perpetual equivalent annual  worth is essentiall...

Q: In the figure below, Sai is the long-run domestic supply curve of oil without considering the climat...

A: Demand Curve: - demand curve is the graphical way of showing the relationship between the quantity d...

Q: Suppose the production function for T-shirts can be represented as q = L K" 025 a) What is the Margi...

A: Isoquant curve shows the different combinations of labour and capital whic provides firm same level ...

Q: Suppose a firm builds a larger plant and increases its output. Which of the following statements is ...

A: If a firm builds new plants and increases its output, it moves from diseconomies of scale to economi...

Q: One method of analyzing the financial feasibility of a farm land investment involves comparing the i...

A: The capacity of a planned land use or change of land use to justify itself from an economic standpoi...

Q: A regional infrastructure building and maintenance contractor must decide to buy a new compact horiz...

A: Given:- System cost=$68,000 Estimated or purchased now=$81,000 i=12% f=5% Please find the images att...

Q: (Four Sector Model) : The major macro aggregates for an economy are given as follows : Consumption, ...

A: Answer:   hence the Y = 12.5 i    

Q: Assume that the velocity of money is constant in the short run. Assume that the real GDP grows by 4 ...

A: Velocity(V) = constant Growth of real GDP (Y) = 4% Money supply (M)= 5% Price level(P)= ?  

Q: NAFTA has improved Mexico-U.S. trade and investment, yet, bilateral trade between the United States ...

A: Trade means goods and services are exported to other countries and imported from outside the country...

Q: Discuss in detail one negative impact of the 2007–2009 Global Financial Crisis and an approach that ...

A: Great recession and the causes is complex and involve several forces. The period required to recover...

Q: State whether the following sentence is correct or not: “innovation is a natural consequence of the ...

A: Innovation, as an idea, alludes to the process that an individual or association embraces to concept...

Q: demand is a. perfectly elastic. O b. unit elastic C. elastic. inelasti.

A: Price elasticity of demand is the ratio of the percentage change in quantity demanded of a product t...

Q: Consider the daily market for hot dogs in a small city. Suppose that this market is in long-run comp...

A: Monopoly firm produces at the intersection point of MR and MC curve.  hence, monopoly equilibrium o...

Q: Short-run and long-run effects of a shift in demand Suppose that the tuna industry is in long-run eq...

A: Part 1) Beacause of Surgeon General's report consumers demand less tuna at all price. The report ter...