Suppose that demand is perfectly elastic and supply is a basic upward sloping curve (so neither perfectly inelastic or elastic). Graphically, show how many tax burden that consumers and producers will get when the government taxes the consumers.

Q: In the initial Cournot oligopoly equilibrium, both firms have constant marginal costs, m, and no…

A: A market structure known as an oligopoly is defined by a limited number of dominant major companies…

Q: Consider the familiar demand and cost conditions: Market Demand: P(Q) = a – bQ Firm Cost: C(q) = cq…

A: Cournot Equilibrium is a concept in economics that describes a situation in which two or more firms…

Q: You have been asked to perform an economic evaluation of two projects and recommend one of them for…

A: An economic evaluation of the two projects A and B can be done by comparing their Net Present Value…

Q: Money Market - This graph shows the relationship between the supply and demand for money in the…

A: A division of the financial market known as the money market is where financial instruments with…

Q: Which Professor Is Better Off? Suppose the starting salary for a new assistant economics professor…

A: Given that: Year CPI Nominal Salary 1976 56.9 $20,000 2014 236.7 $85,000

Q: Production Possibility Frontier (PPF) - This graph shows the maximum combination of two goods that…

A: A graphical representation of the maximum amount of output that a country's economy is capable of…

Q: 1. Jeff Jones at Ice try ( olers reduced the price of Inc coolers by $10 from the usual $40. Weekly…

A: An elastic demand is one in which the change in qty demanded because of a price change is large.…

Q: Consider an industry with identical firms. Suppose the cost function of firm i, i=1,...,n, is given…

A: Average cost is the total cost divided by quantity. Marginal Cost is the cost of producing an…

Q: How does a monopolistic market during entry and exit affect economic profit and economic loss? Show…

A: Monopolistic competition refers to a market in which there are a large number of buyers and sellers,…

Q: Afirm has an industrial plant that emits pollutants into a town’s lake. The plant’s marginal…

A: "Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Research suggests that macroeconomic factors can explain the dynamics of interest rates in the…

A: Inflation rate is the rate at which the price level increases over the period of time.  The interest…

Q: How does a market compete with other firms efficiently to maintain profit in a competitive market…

A: Competitive market: In a competitive market framework, many firms face the market demand altogether.…

Q: QUESTION 9 What is the effective monthly interest rate considering an APR of 6% compounded…

A: Compounding refers to the process of adding earned interest to the principal amount of an investment…

Q: What is price gouging

A: Price gouging refers to the economic practice where firm or seller tends to charge higher price for…

Q: Consider a Cournot Duopoly model. The inverse demand for their products is given by P = 200 − 6Q,…

A: Cournot competition refers to the market where firms compete on the basis of the output. The…

Q: Please consider an oligopoly market. Suppose you were a producer in the market. Would you corporate…

A: The market is the place where buyers and sellers meet and purchase and sell their products. A…

Q: The graph shows the market for wool. Draw a shape that represents the consumer surplus from wool.…

A: Consumer surplus is the difference between the maximum price a consumer is willing to pay for a…

Q: The variable shown on the horizontal axis is The units for the variable on the vertical axis are…

A: The relationship between income and the price of a commodity represents a consumer's willingness to…

Q: ing & Consumer Behavior 1) Jones Soda began selling its products to large retailers in an effort to…

A: Utility is a subjective concept. It refers to the satisfaction derived by a consumer when he…

Q: This is a graph showing the Federal Funds Rate and the prime bank loan rate since the beginning of…

A: 1. The relationship between the federal funds rate and the prime loan rates is as follows: The…

Q: 1. All fixed costs are sunk costs.

A: Costs that have already been incurred and cannot be recovered, regardless of what is done in the…

Q: Suppose that identical duopoly firms have constant marginal costs of $0 per unit. Firm 1 faces a…

A: In the Bertrand model, the function of monopoly profit is bounded, firms have identical and constant…

Q: UNEMPLOYMENT RATE, 2019 (percent) 40 36 32 28 24 20 16 12 4 2.7 Adult males 5.4 White Black 3.8…

A: Unemployment rate is the percentage of people who are unemployed in the given labor force.  Labor…

Q: b. The economic system is the framework for arranging the relationships between people, businesses,…

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

Q: QUESTION 12 How many years will it take to quadruple your investment if your savings account earns…

A: Under compound interest, interest is charged on the accumulated amount that is principal plus…

Q: The multiplier model: Consumption spending refers to ________ spending on goods and services.

A: Consumption is the process of using goods and services to satisfy individual wants or needs. In…

Q: The supply curve of rubber balls is given by Q = 100P – 10. What happens to the quantity supplied of…

A: A supply curve is a graphical representation of the relationship between the quantity of a good or…

Q: How did the covid-19 pandemic impact employment and inflation ? What are specific government…

A: The Covid-19 pandemic had a significant impact on employment and inflation worldwide. The pandemic…

Q: In 2020, the Central Bank of Faunaland increased the money supply growth by 8%, whereas the Central…

A: An exchange rate peg is a monetary policy by which a country's monetary authority or central bank…

Q: The Federal Reserve believes that inflation is or will be too high given the current stance of…

A: A central bank, such as the Federal Reserve in the United States, may manage and regulate the amount…

Q: Bob has a utility function U(x, y) = √√x₁ +0.8√x2 +0.64√x3 over his incomes x1, x2, x3 in the next…

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

Q: 17. Consider q is output level, K is capital input and L is labour input. In the short run, capital…

A: The production function shows the relationship between input such as land, labor, capital, and…

Q: Problem 08-03 (algo) The table below lists the marginal product per hour of workers in a lightbulb…

A: Labour market: labour market is a market where the firms and households interact. The firms demand…

Q: (d) Find the pure-strategy Nash equilibria of this game. (e) What do you think will happen?

A: Pure Strategy Nash Equilibrium is when the chosen set of actions by all players has the…

Q: 2. You are working as the chief economist for the Ministry of Economy in Peru. For each of the…

A: 2) The IS-LM-FX model was created by economists John Hicks and Alvin Hansen and then improved by…

Q: Yards of A Cloth 1000 a B 800 600 400 200 0 eg 500 According to this figure, the opportunity cost of…

A: Opportunity cost is the cost of producing one good in terms of other.  Opportunity cost shows the…

Q: The marginal, or additional, gain from Riley's second hour spent working, from 8:00 AM to 9:00 AM,…

A: The marginal gain refers to the additional gain that arises from additional hours of work being put…

Q: Chatham Automotive purchased new electric forklifts to move steel automobile parts two years ago.…

A: When an asset has reached the end of its useful life or is no longer in use, its salvage value is…

Q: DRAW a diagram for each of the following events, does the dollar rise or fall in value? MUST…

A: Dear student, you have asked multiple sub-part questions in a single post.In such a case, as per the…

Q: Two mutually exclusive alternatives are being considered as possible ways to reduce traffic…

A: The benefit-cost ratio (BCR), which can be stated in monetary or qualitative terms, is a metric that…

Q: 5. Assume Q=K0.25L0.75 (a) Find the total differential dQ. (b) Use the total differential to find…

A: Isoquant is the curve that shows the equal quantity of a good produced with each combination of…

Q: for th below two machines and based on AW analysis which machine we should select? MARR=10% Machine…

A: Present value is the value of investment in today's dollar.  Future value is the value of investment…

Q: 14. Efficiency in the production possibilities model Suppose the fictional country of Haleakala…

A: Production possibilities frontier shows combinations of two goods that can be produced with the…

Q: In which type of economy is there most likely to be an unequal distribution of wealth? A-Pure Market…

A: Distribution of wealth is not equal in the society. Different forms of economic systems lead to…

Q: What is the difference between growth and development? Can growth occur without development? Can…

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

Q: QUESTION 2 Considering the following scenario. In years 0, 2, 4, 6, and 8, you deposit $1000 in your…

A: Present value is the value of investment in today's dollar. Future value is the value of investment…

Q: This question draws on the supply and demand analysis presented in Appendix 1A. Using a graph, show…

A: The demand is the affordability to pay in the market and willingness to pay the market price for the…

Q: Which of the following is an example of a physical capital investment for a manufacturing company? A…

A: The allocation of resources for the purchase or enhancement of long-term, tangible assets utilized…

Q: Suppose the diagram below shows the floor plan of a room measuring 10 feet by 10 feet. There are two…

A: A rectangle has two sets of equal and parallel sides.

Q: - Your answer is partially correct. A state department of health is considering a public awareness…

A: Formula for the present value is given as: => P = F(1+R)tP : Present value F : Future value R :…