Suppose we allocate a fixed supply of a depletable resource between two periods in a dynamically efficient way. Assume further that the demand function is constant in the bwo periods and the marginal willingness to pay is given by the formula P7-0.46g while the marginal cost is constant at 51 per unit. The total supply is 18 units and the discount rate is 2%. What is the marginal user cost during the first period?
Q: If average total costs increase when the output level increases, then there are diseconomies of scop...
A: The expenses that are being incurred for running a business and carrying out its various transaction...
Q: You have agreed that you will pay $50/month, in today's dollars, for cell service for the next three...
A: Given amount of 50 $ per month is paid in todays dollars. The Base value to be paid will be the real...
Q: Each consumer has the following demand for annual visits to Planet Fitness: Q = 100 - P, where Q is ...
A: A single seller is called the Monopoly, price discrimination is the main nature of it. A two-part ta...
Q: Discuss the primary determinants of a share’s beta.
A: A stock is a sort of asset or investment that demonstrates ownership of a share that indicates a cla...
Q: Using the expenditure approach, compute the value of the GDP? Transfer Payments $54 Interest Income ...
A: GDP using expenditure approach: Household Consumption + Government Expenditure + Investment + Net Ex...
Q: ving graph shows Eileen's total cost curve. lue points (circle symbol) to plot total revenue and the...
A: Q = quantity TC = total cost TR = total revenue MC = marginal cost MR = marginal revenue
Q: Eggplant and Broccoli are perfect substitutes for Josh, same marginal utility from a single eggplant...
A: Introduction Josh has $66 income. He wants to takes eggplant and broccoli with the income. Price of ...
Q: The supply and demand curves for a product are given by the following equations: P = aQs + b and P =...
A: Given information Demand function P=cQd+d Supply function P=aQs+b new demand function Q=1520-5P P=18...
Q: Price level (GDP delflator, 2007 - 100) SAS SAS, LAS 240 SAS 200 D. 160 120 80 10 12 14 Real GDP ril...
A: Please find the answer below.
Q: An IOU agreement was made between two persons. For a face value of P100,000, it was agreed that the ...
A: Given the face value of bond = P100000 Time = 8 years Interest rate = 10.50% Redemption amount = 90%...
Q: You are the manager of a bakery that produces and packages gourmet muffins, and you currently sell m...
A: The demand function expresses the demand changes due to chang in price and the inverse demand functi...
Q: Tim's Performance Pizza is a small restaurant in Chicago that sells gluten-free pizzas. Tim's very t...
A: According to the law of diminishing marginal product. It says that, at the beginning phases of produ...
Q: The Brexit vote in June 2016 resulted in higher expected trade barriers . Therefore, the expected va...
A: Brexit is a mashup of the terms "British" and "exit," coined to describe the United Kingdom's vote t...
Q: What does the term “variance analysis mean when applied of financial performance of health care orga...
A: Please find the answer below.
Q: Now imagine that you are the manager of a national champion company. Which are the two main factors,...
A: Rules and regulations The strategic management and conduct of a company is influenced by changes in ...
Q: If a price floor is lower than market equilibrium... a. Demand will be greater than supply and the...
A: Price floor is the minimum price that must be paid to sellers.
Q: In Country X, the population is 100 million, 60 million people are employed, 5 million are not emplo...
A: Labor force is the sum of employed and unemployed who is actively looking for work.
Q: What is the elasticity of demand if the inverse curve of demand is P = (20 - 2Q)1/2 and 2 units are ...
A: Given Demand function: P=20-2Q1/2 .... (1) The formula for price elasticity of demand: e=d...
Q: If the Fed wanted to raise the Federal funds rate using open market operations, other things equal, ...
A: Open market operations refer to purchase and sale of security bills to affect money supply in the ...
Q: Consumption per period (billions of dollars) $1,600 1,400 Consumption 1,200 1,000 800 400 200 $400 8...
A: We have given the consumption graph plotted between the consumption per period and disposable person...
Q: Consider the competitive market for dress shirts. The following graph shows the marginal cost (MC), ...
A: In economics, a cost curve is a graph depicting production costs as a function of total output. Prod...
Q: What is the purpose or importance of having higher net income of a central banks?
A: In an economy, Central Bank is the financial authority that is responsible to conduct monetary polic...
Q: Three different plans were presented to the GAO by a high-technology facilities manager for operatin...
A: FiRST OF ALL, we need to calculate the effective annual rate of interest rate, since the interest ra...
Q: Consider the IS-LM AD-AS model (with adaptive expectations). Assume that the economy is initially in...
A: The long-run period is one such phase of economy wherein certain high level of investment like techn...
Q: You work for an inbound travel company. ( search what is a inbound tour company) Your company is out...
A: Please find the answer below.
Q: Employment protection laws do NOT: a. decrease the duration of unemployment. b. increase the unemplo...
A: Employee rights, such as the right to earlier termination notice, the right to redundancy payments u...
Q: E. DISCUSS HOW THE “STAGES OF GROWTH FRAMEWORK EXPLAINS ECONOMIC STRUCTURAL CHANGE.
A: In an economy, stages of growth framework include the stage of startup to growth, maturity and then ...
Q: The demand functions for each of two goods depend on the prices of the goods, p1 and p2: qD1=15-3p1+...
A: Demand: Q₁= 15-3P₁ +P₂ Demand: Q₂ = 6-2P₂ +P₁ Supply : Q₁ = 2 +P₁ Q₂ = 1 + ...
Q: Based on the discussion, identify and explain in your own words the significance of HDI in assessing...
A: The measure that depicts a measure of average achievements of countries in various dimensions of hum...
Q: miles from an attraction you hadn't known about, but would really like to see. In computing the oppo...
A: ANSWER GIVEN BELOW,
Q: MC ATC Price (BCD
A: Total revenue alludes to the total receipts from deals of a given amount of labor and products. It i...
Q: What is theories and patterns of structural change in economic development? Explain in your own word...
A: The structural aspect of economic development is becoming increasingly crucial as the Ukrainian econ...
Q: Of the following, the one that appears in the current account of the balance of payments is Quest...
A: Keeping track of a country's financial interactions with the rest of the world is done through balan...
Q: Federal Reserve independence is thought to Question 11 options: a) help Congress to better c...
A: With more independence for federal reserve, the central bank will be more open, transparent and ...
Q: Sunglasses manufacturer Oakley, Inc. produces high-end and low-end versions of their performance sun...
A: Given that the two demands are independent and Oakley is successfully segmenting the market, it will...
Q: 2. Can you still use your broken money in a buying goods or availing service?
A: Broken money is also known as damaged money that is due to a cut on the note, which makes it less re...
Q: How does the Central Bank spend it's
A: National banks influence the amount of cash available for use by trading government protections thro...
Q: At the profit-maximizing output level, the slopes of the revenue and total cost curves are not equal...
A: The correct answer is given in the second step.
Q: Assume that the following equations characterize a small open economy: Y= 5,000 C-0.5 (Y - 7) 1-2,00...
A:
Q: Which of the following statements about Nash Equilibria in a two-player one-shot simultaneous game i...
A: The Nash Equilibrium could be achieved when one of two or both players have a dominant strategy. But...
Q: Charles consumes only beer (x) and wine (y). His preferences can be represented by the following uti...
A: Given; Utility function; U=2xy Price of beer; px=2 Price of wine; py=2 a) Marginal rate of substitut...
Q: Suppose that a factory that enjoys a monopoly in their market has one of their senior engineers reti...
A: monopoly describes a market circumstance where one organization possesses all the piece of the pie a...
Q: In the United States, the dollar is backed by silver. backed by gold and silver. backed by Bitcoin. ...
A: A currency is backed means that a commodity backs or supports, like gold or silver. It means the cur...
Q: In a small open economy, output is $25 billion, government purchases are $6 billion, taxes are $5 bi...
A: Given Y=$25 billion Government purchases G=$6 billion taxes T=$5 billion C=2+0.6(Y-T)
Q: 1. Why do we need microeconomic models? Using appropriate diagram(s), explain how changes in a facto...
A: Please find the answer below.
Q: Graph the following a. Flood destroys the rice crops. Demand remains constant. Show effects on marke...
A: Since you have posted a question with multiple parts , I have solved the first three sub parts for y...
Q: On the following graph, use the orange points (square symbol) to plot the nominal Interest rates for...
A:
Q: why is the working capital productivity in an electronics firm an important factor?
A: When a product or a merchandise is manufactured, cost takes place and process of business follow u...
Q: Hannah has a small business making clothing alterations. Which of the following products would drama...
A: Hannah has a small business that makes clothes adjustments, according to the question. Thread is the...
Q: A correctly anticipated increase in the quantity of money, in an economy with an unchanging long-run...
A:
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Suppose we alocate a foxed supply of a depletable resource between two periods in a dynamically efficient way. Assume further that the demand function is constant in the two periods and the marginal willingness to pay is given by the formula P= 7-0.46q while the marginal cost is constant at $1 per unit. The total supply ls 18 units and the discount rate is 2%. What is the marginal user cost during the first period?The inverse demand function for a depletable resource is P=8-0.4q and the marginal cost of supplying it is $2 If 20 units are to be allocated between two periods in a dynamic efficient allocation, how much would be allocated to the first period and how much to the second period when the discount rate is 5% and 10% (Hint Demand Function is the same in both periods) Given the discount rate, what would be the efficient price in the two periods? What would be the marginal user cost in each period? Assume a discount rate of 10% determine the efficient allocation amount between the two period Prepare a schedule of the discount rate and the efficient allocation for the two-period and graph the relationship. What can you say about the discount rate and the allocation between the two periods?Y7 1- One Suppose P=8-0.2q in each of the two periods MC in each of the two periods =$4 Supply of the resource is 20 units a)Calculate the Dynamically efficient allocation of this depleted resource over the two periods if the discount rate is 10% b)Calculate marginal user cost in each period 2- Consider the inverse demand functions for two users of water A and B User A P=8-0.2 qA User B P=8-0.2 qB If the marginal cost of providing water is constant and equal to $2 and the supply of water is equal to 30 units, solve for the statically efficient allocation of water among the two users
- The elasticity of resource demand is calculated as: % Chage in resource quantjty/% Change in resource price If a calculation of Resource Demand Elasticity returns a quotient that is less than 1, then O Resource demand elasticity is relatively elastic, indicating there is a lack of resource substitutability O Resource demand elasticity is relatively elastic, indicating there is an ease of resource substitutability Resource demand elasticity is relatively inelastic, indicating there is a lack of resource substitutability Resource demand elasticity is relatively inelastic, indicating there is an ease of resource substitutabilityThe inverse demand function for a depletable resources is P=8-0.4q and the marginal cost of supplying it is $2 If 20 units are to be allocated between two periods in a dynamic efficient allocation, how much would be allocated to the first period and how much to the second period when the discount rate is 5% and 10% (Hint Demand Function is the same in both periods) Given the discount rate what would be the efficient price in the two periods? What would be the marginal user cost in each period? Assume a discount rate of 0% determine the efficient allocation amount between the two period Prepare a schedule of the discount rate and the efficient allocation for the two period and graph the relationship. What can you say about the discount rate and the allocation between the two periods?The demand for a as a function of their price (p) is given p-Bp? Вр-1 by: QD = C+ A· where A=1, B=7 and C=40 Mp²-p² Мр-1 E where M=-11 and E=4. and the supply is given by: Qs Compute the market equilibrium price for this product. Solve the problem by first formulating an equation(s).
- 7..Assume that we have a fixed supply of a depletable resource to allocate between two periods. Assume further that the demand function is constant in the two periods, the marginal willingness to pay is given by the formula P = 12 - 0.5q, and marginal cost is constant at $4 per unit. The total supply is 2 units. What percent of the total should be consumed during the first period if the discount rate is 2%?The total/aggregate market demand for rubber erasers can be segmented into two components. The first component is the demand for rubber erasers by art students. This demand is given by Qa=10,000-250P. The second component is the demand for rubber erasers by all other purchasers. This demand is given by Qo=15000-500P. a) Draw the demand curve for art students, the demand curve for other purchasers and the aggregate demand curve b) Derive the algebraic expression for the aggregate demand curve. c) If the equilibrium price is $20, determine the consumer surplus for art students.QUESTION 3 Assume that we have a fixed supply of a depletable resource to allocate between two periods. Assume further that the demand function is constant in the two periods, the marginal willingness to pay is given by the formula P = 14 - 0.3q, and marginal cost is constant at $2 per unit. The total supply is 2 units. What percent of the total should be consumed during the first period if the discount rate is 1%?
- The Nike accounting firm analyzes the price-demand relationship toconclude that x thousand shoes will sell if offered for a unit price (in dollars) of p(x) = 130−0.1x. Suppose further that the total cost of production was tracked to be $530,000 up until production of the first thousand shoes, and that this cost increased linearly to $560,000 by the time of production ofthe 2000th shoe. Find the following quantities, and interpret your results(describe what these quantities represent). a) Marginal revenue when x= 100 b) Average profit when x= 500Imagine a firm with a marginal abatement cost (MAC) function equal to: MAC = 30- 6E. The government introduces a cap-and-trade policy and grandfathers the firm 1 permit initially. Assuming the market price of permits is $6, the firm will spend a total of $_ in order to buy permits. (Note: your answer can be positive or negative; if it is positive, the firm buys permits and your answer represents the firm's total expenditures on permits; if it is negative, the firm sells permits and your answer represents the firm's total revenues from selling permits). (Round your answer to the nearest integer) Answer:The inverse supply function for soda is PS = 4 + QS. The inverse demand function for soda is PD = 12 - QD. The quantity of soda bought and sold with a $4 tax on production is: Typed and correct answer please. I ll rate