What is Lerner index? How is it calculated? What does it calculated outcome tell us?

Q: n marble block quarrying operation, hand rock drills, costing P70,000 each, is used. It has a…

A: Given,    Hand drill machine Initial cost=P70000 Monthly production=30 cubic rock Diesel= 80 liters…

Q: Find the equilibrium prices and quantities for the two good market demand and supply equations. Qai…

A: In this question, Qd1=263-33P1 +263 P₂ Qd2=169 +19P1-37P2 Qs1 = -71 +45P1 Qs2=-68+35P2

Q: The following table provides data for an economy in a certain year: Consumption expenditures Imports…

A: Meaning of Gross Domestic Product (GDP): The term gross domestic product refers to the situation…

Q: Average Fixed Average Average Total Total Product Cost Variable Cost Cost Marginal Cost $ 25.00 1 $…

A: There are many firms in purely competitive market. All the firms produce identical goods so buyers…

Q: In a Solow growth model with population growth but no technological progress, suppose that y = k-/3…

A: Steady state is reached where investment is breakeven investment. There is no change in capital per…

Q: If l increase by 200, equilibrium output would increase by If G increase by 200, equilibrium output…

A: The formula for equilibrium level of output: Y = C + I + G + NX Given, C = 250 + 0.4(Y - T) I = 200…

Q: The output demand curve slopes upward because of the negative effect of the real interest rate on…

A: 1. At any price level in any time, the aggregate demand curve reflects the total of consumption,…

Q: Which of the following would NOT decrease the demand for steak? A. a fall in the price of chicken (a…

A: Demand curve shows an inverse relationship between price and quantity demanded. It slopes downward.

Q: Average Fixed Average Average Total Total Product Cost Variable Cost Cost Marginal Cost 1 $ 150.00 $…

A: In purely competitive market, there are many firm selling identical goods. Firms do not have any…

Q: An investor buys a land for Php 1 Million and constructs a three-door apartment for students worth…

A: Given,  Investor buys land for Php 1 Million to construct a three door apartment  worth 5 PhpAnnual…

Q: MRC w. Quantity of labor Refer to the above diagram. Assuming monopsony, the firm represented will…

A: In a monopsony labor market, there is only one employer in the market.  In a monopsony labor market,…

Q: Consider a consumer whose preferences are represented by a utility function u(x, y) = a0.5y5 Are…

A: The utility function can be defined as the measure of a group of goods and services preferred by…

Q: 24. If Ron chooses to flip a magic coin, so that he will choose "Go to Bed" with p = 0.25 and…

A: Go to Bed Adventure Go to Bed 40,40 10,20 Adventure 20,10 60,60

Q: I. Autonomous consumption is always positive II. Consumption is always positive III. The marginal…

A: Consumption function: C = c + MPC * Y Where C is consumption c is autonomous consumption, i.e., the…

Q: What economic rationale exists for the use of regional economic development incentives?

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

Q: Which type of terminal can be used for both TL and LTL carriers:

A: Carriers in the LTL industries use three terminals: pickup or delivery, break-bulk, and relay.

Q: Why are banks susceptible to potential bank runs? Group of answer choices Banks make many…

A: Bank runs are such a situation where a large number of customers of bank or any other financial…

Q: Assume a government starts with zero debt. This government then runs an annual deficit for 28 years…

A: The financial liabilities of the government sector are referred to as gross government debt (also…

Q: How did Vietnam and the Watergate Scandal affect popular trust in the government? Discuss the…

A: Introduction : The Watergate scandal was a major political scandal in the United States involving…

Q: The following graph shows the labor market in a state in the South. The legislature in this state…

A: The markets are the place where the buyers and the suppliers tend to meet and interact with each…

Q: Output 1 2 3 4 7 8 Total Cost 12 20 26 32 40 52 68 93 122 LO

A: In a perfectly competitive market, there are many firms producing identical goods. Firms do not have…

Q: can you explan step by step how (100-q2)q2-10q2 turned into 100-2q2-10=100?

A: The profit function has been differentiated here.

Q: You are faced with making a decision on a large capital investment proposal. The capital investment…

A: Given that; The capital investment amount is $640,000.  Estimated annual revenue at the end of each…

Q: 5) ) Use a MARR of 10%, useful life of 5 years and the Present Worth method to select between the…

A: Answer; 5)     Present Worth of Alternative A:…

Q: Suppose that a person maximizes his expected utility, with the utility function given by v(z) = z12.…

A: We have two value of Z with equal probability. Which means Z can take 2 different values with…

Q: 6 Assignment on the basics of political economy 6. Could one person both dominate and exclude…

A: 6. When it comes to private commodities, one individual can both dominate and exclude another.

Q: 2. Suppose that the government raises the salary of public teachers by 20%. Further assume that…

A: Ricardian equivalence is an economic theory that states that funding government spending with…

Q: In the North American (New World) model of urban growth, which of the following notions best…

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

Q: Wakanda is a firm that solely supplies vibranium to Marley and Paradis. The demand function of the…

A: There are two market with different market demand functions and firm is able to discriminate.

Q: Cho is a skilled toy maker who is able to produce both boats and puzzles. She has 8 hours a day to…

A: Opportunity cost is the cost of second best alternative foregone. It is also sometimes known as…

Q: PLEASE ANSWER A    The Market for Chicken Meat in Davao City a. Fill in the missing algebraic…

A: Given; Q = quantity of chicken meat in kilograms, per dayPC = price of chicken meat (in pesos per…

Q: Suppose there are two firms that sell surfboards - Firm A and Firm B. Firm A produces high quality…

A: Introduction Two firms that sell surfboard such as firm A, firm B. Firm A produces high quality…

Q: Which of the following activities do you think is more likely to be carried out in- house by a…

A: Manufacturers can approach specialized people to work on specialized work that the manufacturer is…

Q: You borrow money from a bank to invest in the stock market. The mean return of your portfolio (X) is…

A: * SOLUTION :-    (2)

Q: Assume you have purchased a $15,000 car. The salesperson has offered you a mainenance contract…

A: The car is purchased for $15,000 along with $750 as a three year repair contract with exclusions.…

Q: Describe what will happen to equilibrium price and quantity of each commodity given the…

A: NOTE: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: If the zero lower bound binds on a loanable funds graphs, then there is excess A. saving B. bank…

A: The total amount of money that persons and corporations in an economy have decided to save and lend…

Q: (c) Assume that the economy's production function is Cobb Douglas so per-capita output is y = kª,…

A:

Q: Explain the methods of GDP counting (measuring)! Explain potential GDP!

A: GDP stands for Gross Domestic Product.

Q: 9. Of the duopoly models that we studied, industry profits are highest in happiest in and consumers…

A: There are different types of models in the duopoly marke, such as Bertrand model, stackelberg model,…

Q: Which of the following is considered least liquid? O a) currency bills O b) Checking account O c)…

A: In economics, liquidity is defined as the ability of an asset to be turned into cash. An asset is…

Q: On which of the following issues did Trump focus during the midterm 2018 campaign? successful…

A: During the midterm 2018 campaign, Trump focussed on many issues including health care, immigration…

Q: Assume that a profit maximizing perfectly competitive firm hires labour in a perfectly competitive…

A: In perfectly competitive market, both employers and workers have perfect information.

Q: If consumer income falls and as a result the demand for a good rises, then that good can be…

A: There are two types of goods depending on its relationship with income.

Q: Jason is a very skilled craftsman who specializes in making office furniture. He was laid off by his…

A: Jason is a very skilled craftsman who specializes in making office furniture. He was laid off by his…

Q: 7. Simple economies can be described in terms of three major economic flows. These are: a. income,…

A: The economics as a study is based upon the basic idea that the resources which are present with the…

Q: There once was a town where thanks to expansive fiscal policy in Washington, the town had more money…

A: In this question:- Due to expansive fiscal policy in Washington, the town had more money to fix…

Q: Explain what is/are the advantage might Generation Y have in terms of education and income advantage

A: Generation Y have a set of abilities and characteristics that distinguish them as desirable…

Q: Microeconomics 1. Burger King Senior Discount drinks 10% off (60+) plus discounts on coffee and…

A: Firm uses various marketing strategies to achieve the objectives of maximising profit or sales. In…

Q: Given the following: C = 150 + 0.25Y4 = 150 + 0.25(Y – T) I = 300 G = 450 T = 250 Solve for the…

A: "In macroeconomics, closed economy-equilibrium will occur at a point where total output (Y) equates…

Marginal Rate of Technical Substitution

MRTS reaches a manufacturer when a part of the product is lowered to sustain the manufacturing level when the other part is extended. It is the level of the quantity that is lowered when one extra volume is used, and the output is unchanged.

Preferences and Utility Analysis

Before understanding what is preference and utility analysis, it is very important to understand the terms preference and utility separately.