The equation for a supply curve is P = 3Q - 8.  What is the elasticity in moving from a price of 4 to a price of 7?  You must show your calculations

Q: A company produces two products. FC = Total Fixed costs = $580 VC₁= variable costs from product 1 =…

A: The firm should produce where the firm is able to cover it's variable cost of production.

Q: If the risk premium is 2%, the nominal borrowing rate is 7% and the real borrowing rate is 5%, what…

A: Given:- Risk premium rate=2% Nominal borrowing rate=7% Real borrowing rate=5% Please find detailed…

Q: f the government wants to decrease the quantity consumed of cigarettes 20%, what percentage of tax…

A: Elasticity of demand measures the degree of change in the demand in response to the change in the…

Q: 4. A multiproduct firm's cost function was recently estimated as C(Q₁, Q₂) = 75 -0.250102 +0.10…

A: C(Q1,Q2) = 75 - 0.25Q1Q2 + 0.1Q12 + 0.2Q22

Q: Mary has utility function U(x1, x2)=X1 4 X2 over two goods. Suppose the price of good 1 is p1, the…

A: Optimal consumption bundle: The optimal consumption bundle is such that at that bundle the…

Q: There are four axioms that underpin Expected Utility Theory. Match the names of these axioms to the…

A: Expected Utility Theory: When payoff is uncertain we use a very popular economic hypothesis called…

Q: Let Y represent the amount an individual spends on a trip. The individual's utility is a function of…

A: Utility function : U(Y) = ln Y *1000 Money to be spent on trip = 10,000 Expected Utility = 9131.32…

Q: In the market for Philadelphia Phillies baseball tickets, a determinant of supply would be ______…

A: According to economic theory, two items are considered substitutes if they can both satisfy the same…

Q: What is the most likely reason that a movie theater would charge the same price for a popular movie…

A: The law of demand and supply explains how the interaction of demand and supply determines the price…

Q: Suppose I hire 50 workers in my factory to produce two things: books and pens. I engage 35 workers…

A: Given:-    50 workers   35 workers = books = 500 books   15 workers = pens = 200 pens

Q: Jean deposited P2,000, P2,500 and P3,000 at the end of the 2nd year, 3rd year and 4th year,…

A: given that, Jean deposited P2,000, P2,500, and P3,000 at the end of the 2nd year, 3rd year, and 4th…

Q: Q2. Consider the simple Keynesian model of income Determination Ct = Bo + B₁Yt + Me 0<B₁<1 Y₁ = C₁ +…

A: First of all, we have to know the term simultaneous equation model. Simultaneous equation model is a…

Q: You sell bracelets online. The demand for these bracelets is: P = 84 - 2Q The bracelets cost $6 each…

A: Demand for bracelets : P=84-2Q Cost of each bracelet : Marginal Cost=6 Seller will try to set that…

Q: a. bi d. which of the Car coays government influence supply the ? Subsriches, regulation and…

A: The quantity of an item or service that a manufacturer is willing to offer at each price is what we…

Q: TC = 177 +30Q + 2Q² What is the average variable cost when 9 units are produced? Enter as a value.

A: TC = 177 + 30Q + 2Q2 Since Total cost = Total variable cost + Total fixed cost Total Fixed cost is…

Q: Suppose that a firm is producing in the short run with output given by: Q = 68L-L2 The firm hires…

A: The equilibrium exists at a point where the demand for labour and the supply of labour will be…

Q: a) Define operating leverage b) Firm A operating in a perfectly competitive market sells its…

A: Operating leverage determine the fixed cost of a firm as a percentage of the total costs. It helps…

Q: For the demand function q = D(p)=476-p, find the following. a) The elasticity b) The elasticity at p…

A: Elasticity of demand measures the responsiveness of quantity demanded with respect to change in…

Q: Could I have a graphical representation of question c?

A: In this case, we have to know the term private savings, public savings and national savings. Private…

Q: TC = 188 +38Q +4Q² What is the average fixed cost when 18 units are produced? Enter as a value.…

A: The price of the inputs used in the process of producing the good is referred to as the cost of…

Q: Required information Determine the number of times interest is compounded in a quarter for the…

A: Compounding Periods: Compounding periods imply the number of times compounding happens during a…

Q: rsula is employed by USA Corporation. USA Corporation provides medical and health, disability, and…

A: The term "life insurance policy" refers to a contract that calls for regular premium payments to…

Q: The nation's commodity terms of trade times the productivity index in its export sector gives the…

A: Introduction  Trade is an activity of buying and selling of goods for money or other goods.

Q: Let's suppose you have $1 million to invest.  You are considering to invest in UK first, then…

A: Covered interest rate arbitrage is the practice of utilizing favorable interest rate differentials…

Q: Theodore is considering a 1-year training program, which charges $20,000 in tuition, to learn how to…

A: Present worth estimate the effect of time on money. PW is what a sum of money or a series of cash…

Q: allocation might be both efficient and equitable, based on the Pareto principle." 3. In a…

A: Answer to the question is as follows:

Q: Problem 5 Based on the graph below, explain what would happen to the optimal level of abatement if…

A: The Optimal Level of Abatement refers to the costs incurred by the firms that are likely to cause…

Q: A COMPANY IS STUDYING TO UPGRADE THEIR EQUIPMENT IN ORDER TO REDUCE COST BY P40,000.00 PER YEAR.…

A: A rate of return (RoR) is the net gain or loss of an investment over a particular period, indicate…

Q: (a) What are the characteristics of a perfectly competitive market? (b) What are the characteristics…

A: Disclaimer- “Since you have asked multiple questions, we will solve the first three questions for…

Q: Based on the criteria used by the Bureau of Labor Statistics (BLS), identify each person's status as…

A: Labor force includes people who are actively looking for the job and people who are working.

Q: If X follows a normal distribution with µ = 30 and σ = 4, what is P(X ≤27)? Answer Choices: a.…

A: X follows a normal distribution with mean (µ) equals to 30 and standard deviation (σ) equals to 4…

Q: You’ve been given a firm’s production and cost functions: p = 132 −2q M C = 12 + 4q Assume this…

A: A monopoly is sole producer of a good this having maximum market power hence acts as a price maker.

Q: A food manufacturer is trying to maximize profit by selling wheat-based cereal (C) and wheat…

A: Cereal   C = 31wc - 1.5wc2  Bread.   B = 66wb - 2wb2  Constraint.     wc + wb = 9055

Q: Which of the following is an example of an IS shock? i. A change in interest rates ii. A change in…

A: What is a Supply Shock? A supply shock is a powerful reaction to the price of a product because of…

Q: One characteristic of perfectly competitive markets is that individual firms O engage in product…

A: Depending on the firms' profits, entry and exit take happen. In order to enter a market structure,…

Q: Which of the following is correct Real GDP is always less than nominal GDP when deflator is greater…

A: Nominal GDP is defined as the GDP calculated at current prices without any adjustments for…

Q: QUESTION 4 For the below ME alternatives, which machine should be selected based on the AW analysis.…

A: Machine A Machine B Machine C First Cost 15,000 26,460 10000 Annual Cost 8,701 6000 4000…

Q: Which one of the following will happen due to the bilateral free trade agreement (FTA) between US…

A: The bilateral free (FTA) between US and S. Korea will eliminate tariffs and other barriers to trade…

Q: Compute the IRR static for Project E. The appropriate cost of capital is 7 percent. (Do not round…

A: Internal Rate of Return (IRR): IRR is the rate of return at which the present worth of all the cash…

Q: Which of the following is proof that international trade is beneficial? O the fact that different…

A: The exchange or trade of goods and services between various countries is referred to as…

Q: The following table shows cost data for a perfectly competitive firm.

A: A perfectly competitive firm is a price taker, which means it takes the price set by the market…

Q: An amortization of a debt is in a form of a gradient series of P10,000 on the first year, P9,500 on…

A: Given, Value at Year 1 = P10,000 Value at Year 2 = P9,500 Value at Year 3 = P9,000 Value at Year 4 =…

Q: Assume the price of good Y increases by 2% and the cross price elasticity of demand with good X is…

A: Cross price elasticity (CPE) measures the percentage change in quantity of one good due to…

Q: A carpenter hammers nails each day at work. In each of the first three hours 50 nails were hammered…

A: The utility is the satisfaction level or the happiness that an individual enjoys as a result of…

Q: Suppose Mattel, the producer of Barbie dolls and accessories (sold separately), has two types of…

A: Suppose Mattel , the producer  of Barble dolls and accessories , has two types of customers who…

Q: The St Petersburg Paradox involves a coin tossing game. The player tosses a fair coin as many times…

A: In 1713 Nicolaus Bernoulli introduced the St. Petersburg paradox. It is considered to be a reliable…

Q: Principles of utility

A: According to Bentham’s principle of utility, the righteousness of an action is maximised in so far…

Q: You are the mayor of your hometown, and one day you arrive at city hall to find angry voters…

A: I would pursue a number of possibilities if I were the mayor of my hometown to improve the…

Q: Let R(x), C(x), and P(x) be, respectively, the revenue, cost, and profit, in dollars, from the…

A: Revenue refers to an income earned from selling produced output.  Revenue is equal to price…

Q: If a 4 percent rise in the price of honey lowers the total revenue received by the producers of…

A: The elasticity of demand is a relative concept that measures the percentage change in demand due to…