Should a firm shut down immediately if it is making losses?

Q: A and B

A: A monopolistic market(mkt) is the market(mkt) where there are large numbers of firms offering simila...

Q: “Minister of labour, Thulas Nxesi, has gazetted South Africa’s new minimum wage which will take effe...

A: A minimum wage is a price floor policy that dictates the lowest price for labor that any employer ma...

Q: C and D

A: In the long run, new firms are entering in to the business if there is an economic profit. If the fi...

Q: True or False

A: The term "Pareto efficient" is defined as that outcome in which no player can be made better off wit...

Q: Explain the difference between the government purchases multiplier and the net tax multiplier. If th...

A: Answer: Government purchases multiplier: it refers to the change in national income due to a change ...

Q: George has been selling 5,000 T-shirts per month for $8.50. When he increased the price to $9.50, he...

A: The price elasticity of demand can be calculated as follows: Thus, the price elastic of demand is -...

Q: What is the relationship between unemployment and inflation. Why is that when unemployment increases...

A: The term inflation is used when the price level of goods increases in an economy. The unemployment i...

Q: Question 2: Calculate the missing values in the following table. Show all formula and calculations i...

A: Following formula are used to find the values. Average cost = Total cost / Output. Marginal cost = C...

Q: Given an MPC of .8 and an increase in government spending of 5  The aggregate supply curve will shi...

A: An increase in government spending increases the aggregate demand in the economy. If the government ...

Q: Price per Quantity Marginal Use the table on the left to answer the following sub-questions. (Hint: ...

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If y...

Q: e eouilibrium price and quantity according to the data above?

A:

Q: Exercise 1. The demand for your product X has been estimated to beQX = 7, 880 − 4PX − 2PY + PZ − 0.1...

A: Given; QX = 7, 880 − 4PX − 2PY + PZ − 0.1M If two goods (say good X & good Y) are substitutes of...

Q: Draw a consumer’s indifference curves for pizza and coke. Describe and explainproperties of these in...

A: Indifference curves are graphical representation of consumer's preference. The consumer finds all th...

Q: Scarcity is a universal problem. Discuss any TWO (2) limited resources thatyou faced as a student.

A: One of the central problems of economics is the problem of scarcity which is present in every countr...

Q: If company A manufactures t-shirts and sells them to retailers for US$9.80 each. It has fixed costs ...

A: Profit of a company is the difference between it's total revenue and total costs. Break even level o...

Q: 1.) Use the line drawing tool to show the effects of an adverse aggregate supply shock such as a dec...

A: An adverse AS shock is an event that will cause an unexpected increase in costs or disruption to pro...

Q: List 2 reasons why aggregate demand curve (AD) slopes downward.

A: The aggregate demand is the summation of the demand from all the economic agents such as the househo...

Q: Kirk was a bright individual who was being groomed for the Controller’s position in a medium-sized m...

A: The environment is the surroundings from which raw materials are collected by the business organizat...

Q: Amy invests 1,000 at an effective annual rate of 10% for 10 years. Interest is payable annually and ...

A: Interest rate (i) can be calculated by using the following formula.

Q: Please answer question 4 1.Draw Aggregate Demand, Short Run Aggregate Supply, and Long Run Aggregate...

A:   Meaning of Aggregate Demand and Aggregate Supply: The term aggregate demand refers to the situatio...

Q: Assume the cross-elasticity of demand for car tires with respect to the price of cars is -2. What do...

A: Cross price elasticity refers to the responsiveness of the quantity demand due to change in price. O...

Q: 1. In the following table, determine how each event likely effects potential output (a.k.a., long-ru...

A: LRAS shows the connection between (P)price level & real GDP that would be supplied if all P were...

Q: List and briefly describe the principal restrictions that may be applied to a nation’s imports.

A: Imports are the goods and services that are bought by the domestic country from the rest of the worl...

Q: Explain how accounting is used to track and monitor economic events that impact capital markets

A: Financial accounts play a vital role that allows businesses to keep a track of all the financial tra...

Q: Explain the difference between the government purchases multiplier and the net tax multiplier. If th...

A: Multiplier(M) is the amount by which the total income(Y) changes due change in aggregate spending(AE...

Q: “It is better to pay a regular price than to stand in a long line for a free item.” Discuss the stat...

A: The term economics is originated from the GREEK word OIKONOMIA meaning the management and study of h...

Q: _______ Because it has not been around long enough toestablish itself, the Russian automobile indust...

A: International trade refers to the exchange of goods and services between various countries. To contr...

Q: Read the following excerpt. Identify whether the policy action is fiscal or monetary and expansionar...

A: The fiscal policy is used by the central government of the country for regulating the income of the ...

Q: You win $100 in a basketball pool. You have a choice between spending the money now or putting it aw...

A: The opportunity cost refers to the amount or value that one has to give up in order to choose someth...

Q: The four people listed below are the only workers in an economy that works 10 hours per day and only...

A: Production possibility frontier shows various combinations of amounts of two goods that the country ...

Q: Explain what the consumption function shows, and describe what is held constant along the consumptio...

A: The consumption function shows the relationship between the consumption of an individual and his dis...

Q: 4. The shape of a firm's long-run average cost curve depends o how costs vary with scale of operatio...

A: Return to Scale: The return to scale refers to the behavior of output when all the inputs or factors...

Q: A global-positioning anti-theft device installed by one car owner can produce a positive spillover t...

A: If one car owner installed the global anti-theft device and it produces a positive spillover to othe...

Q: Analyse the constraints that hamper south Africa's economic growth.

A: The economy of South Africa(SA) is an emerging economy. It is the biggest and wealthiest nations of ...

Q: Yd Consumption Expenditure $ 0 $ 4,000 $ 10,000 $ 12,000 $ 20,000 $ 20,000 $...

A: Saving represents the proportion of income that is not used for consumption purposes.

Q: Suppose there is a permanent decrease in the U.S. money supply. Trace the short-run and longrun effe...

A: You have asked multiple questions. We will answer the first question for you. If u want any specific...

Q: Problem Statement

A:

Q: Suppose that an economy wants to boost available labor hours in order to increase aggregate supply. ...

A: In the classical model the short run aggregate supply is upward sloping. Shown in the graph below is...

Q: What are the top 5 economic indicators you would like to include in the metric of assessing an econo...

A: Economic indicators help in understanding the economic position in a particular situation. Economic ...

Q: Provide an explanation of Say's Law as well as an explanation for why this economic perspective is l...

A: Supply: The quantity of the commodity that is offered by the seller to sell at a particular price an...

Q: A global-positioning anti-theft device installed by one car owner can produce a positive spillover t...

A: Spillover is an economic benefit, cost, event, or effect that occurs from the happenstance of anothe...