Suppose income increases by 25 percent and, as a result, the quantity of a particular brand of automobile demanded (holding the price for this particular automobile constant) increases by 39 percent. The income elasticity of demand for this brand of car is (Enter your response rounded to two decimal places and include a minus sign if appropriate.)

Q: A rise in the price of one good is illustrated as Select one: O a. A parallel inward shift of the…

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

Q: Assume that the demand curve D(p) given below is the market demand for widgets:…

A: The demand function demonstrates the inverse correlation between the price of the good and the…

Q: Assume that you are told a country’s nominal GDP decreased from one year to the next.  All of the…

A: Gross domestic product (GDP) that hasn't been adjusted for inflation is referred to as nominal GDP.…

Q: An organization has limited resources, and each department has been asked to reduce costs, what type…

A: Cost reduction is the most common way of diminishing an organization's costs to expand benefits. It…

Q: Social Security and Medicare taxes are the Payroll Tax.    True

A: The Social Security and Medicare taxes are the Payroll Tax.

Q: conomics deals with the efficient use of resources. Why? 3. Marginal analysis produces more optimal…

A: "Since you have asked multiple questions,we will solve first question for you,If you want specific…

Q: The following graph shows a firm operating in a monopolistically competitive market. Short term, how…

A: The following graph shows a firm operating in a monopolistically competitive market. Short term, how…

Q: You have two options for receiving money from an inheritance. Option 1 - Receive a single check for…

A: Here we are given the 2 payment options. And we will first derive the present value of both the…

Q: If your income is R9 and the per unit price of X and Y is R2 and R1 respectively, what quantities of…

A: Marginal utility is the increase in total utility gained from consuming one more unit of the good.

Q: nformation: a) Explain what the time series is likely to look like (i.e., cyclical, seasonal, with a…

A:

Q: For the below ME alternatives, which machine should be selected based on the AW analysis. MA First…

A: Annual worth is the equal annual cost of machine.    Present value is the value of investment in…

Q: 2. PR sells phones for £400 and has observed a recent drop in sales from 1,500 units a month,…

A: 2) The question states the impact of reduction in price of phones of competitor on the sales of the…

Q: Too much of a good or service is produced when there is a Private cost External benefit Public good…

A: Externality is the spillover effect of a good on the third party which is not the part of…

Q: Jack received a $4,000 raise this year; this increased his salary as an associate television…

A: Initial Salary = $35,500 New Salary = $39,500 Increase in salary = $4,000   Percentage increase =…

Q: Find the nominal rate which if compounded quarterly is equivalent to 6.5% compounded semi-annually.…

A: Nominal Annual Rate: The nominal annual rate is the yearly interest rate without the impact of…

Q: Explain the statement "People resond to incentives and disincentives" in relation to the demand…

A: Anything that encourages a consumer to purchase a product is considered an incentive.

Q: Host nations have adopted competition policy and anti-dumping law. Why do multinational…

A: Competition policy and anti-dumping law prohibit collusion that increase the prices, restricts…

Q: For the subsidy in the last question ($1000 per month), what are: (a) the change in consumer…

A: When government provides the subsidy, it usually lowers the equilibrium price and increases the…

Q: Maria was working for an employer and lost her job two months ago.  She has not looked for a…

A: Unemployment refers to the condition of one who is capable of working, and actively looking for…

Q: Jim's nominal income in 2010 was $72,500.  How much was his real income if 2010…

A: While nominal income and nominal wages are not adjusted for inflation, real income is. Real wage is…

Q: The budget set, or budget constraint, in the graph shows the possible combinations of brownies and…

A:

Q: plain the meaning of internal balance or government balanced budge

A: Budget refers to the financial statement which contains the government expenditure and revenue. The…

Q: Q4. Current demand for apples in a city is 1000 boxes per week. In the city, price elasticity of…

A: Price elasticity of demand is percentage change in quantity demanded divided by the percentage…

Q: 9. A study finds that leaf blowers make too much noise, so the government imposes a $10 tax on the…

A: Tax is the amount levied by the government to control the market for that good.  Tax burden is the…

Q: ume that you are told a country’s nominal GDP decreased from one year to the next.  All of the…

A: Nominal GDP means market value of final goods and services based on the current market price.

Q: 7. The unemployment rate at the time was 10%, and a confederation of large businesses campaigned for…

A: Unemployment rate = 10% Minimum wage decreases from 50 francs to 30 francs

Q: Graphically show a monopoly firm that currently sells 250 units of output at a price of $60/unit,…

A: The producer is in equilibrium when he gets the maximum profit. At this point, the quantity of the…

Q: Illustrate using a diagram why you cannot draw an indifference curve for Lexicographic preferences?

A: A set of products that give consumers equal levels of satisfaction and make them indifferent is…

Q: 5. Wireless high-speed internet in provided for free at an airport in a smaller city (like…

A: Kindes of goods: In public economics, one studies the various kinds of goods in the economy. The…

Q: Find a government regulation imposed by the Commonwealth of Virginia that addresses a market…

A: Demand and supply are unable to balance when there is market failure.. Demand and supply may not…

Q: Use the Gravity Model to explain why China, Japan, Mongolia, North Korea, South Korea, and Taiwan…

A: According to the gravity model of international commerce, the amount of trade between two nations is…

Q: The following two mutually exclusive investment alternatives are being evaluated using the IRR…

A: Given    Alternative Q Alternative W Initial investment $10,000 $15,000 Annual revenue 3100…

Q: Brutus Corporation produces two products, Paper Towel (P) and Foot Mop (F), which must be processed…

A: Cutting has 130 hours Finishing has 185 hours

Q: What is the tragedy of the commons? Give an example that is not in the chapter.

A: In the tragedy of the commons, every person has an incentive to use a resource, but at the price of…

Q: YOUR GRANDMA WISHES TO PROVIDE P40,000.00 TO YOUR YOUNGEST BROTHER ON HIS 21st BIRTHDAY. HOW MUCH…

A:

Q: A shift in the demand curve for bonds occurs when the quantity demanded changes at each given…

A: The term "demand curve" describes a curve that depicts the various quantities of an item that are…

Q: what are the two additional steps in the deposit expansion proccess

A: The deposit expansion process refers to the process in which banks create extra money with the usage…

Q: Explain what happens to Pe and Qe when supply increases and when supply falls.

A: Case I: When supply increase With everything else remaining constant, an increase in supply will…

Q: 1. Suppose that you borrow $20,000 at 9%, compounded monthly, over five years. Knowing that the 9%…

A: Equivalent value or dated value refers to the value of an original sum at any given time. The…

Q: The current social security tax by law is set at 6.2% with a wage based limitation of $113,700.…

A: Tax refers to the money that you have to pay to the government so that it can provide public…

Q: When Andrew was 10 years old, his mother invested $50,000 to use for his college education seven…

A: Prevent value refers to the sum of money that needs to be invested to reach a particular sum in the…

Q: Transfer payments are included in the GDP calculation. [T or F]?

A: Governmental transfers to people include benefits like Social Security. Since transfers do not…

Q: If you know that with 8 units of output, average fixed cost is $12.50 and average variable cost is…

A: Variable costs are also implied as prime costs or direct costs as it directly affects the output…

Q: ou are a pricing analyst for QuantCrunch Corporation, a company that sells a statistical software…

A: Two part tariff is followed by monopoly firm to maximize the profit. The consumer has to pay one…

Q: Between qualitative and quantitative, which one is the best and more scientific methodology, and…

A: Because it is more accurate, unbiased, quick, focused, and accepted than qualitative research,…

Q: Relationship between annual nominal rate of interest and annual effective rate of interest, if…

A: Effective interest rate refers to the real rate of interest paid or received by an individual in a…

Q: Consider a short-run IS-LM model where MPC =0.75. Suppose that taxes are initially given by T=1500.…

A: A decline in per unit tax levied by the government causes a reduction in the production cost and…

Q: QUESTION 5 For the below ME alternatives, which machine should be selected based on the PW analysis.…

A: Present worth which represents the worth of this money in current dollars, is the total of future…

Q: Problem 2 Waller County is planning to construct a Multi-million dollar Recreation and Museum…

A: As per Bartleby's policy, only the first three parts are solved. If you want other parts please…

Q: What is the effect of a fall in the real interest rate on the demand for loanable funds? A fall in…

A: The loanable funds demand curve depicts the inverse relationship between the quantity of loanable…