Microeconomics Answers

What is the south African government providing and to whom?

State whether the Statement is TRUE or FALSE. Also write the reason (Without reason your answer will not accepted)

a) If value of cross price elasticity is positive then it means there are less close substitutes are available of that product.

b) In case of luxury products, the own price elasticity of demand is greater than one.

c) If salaries of journalist go up then demand curve of newspaper will shift upward.

d) When price elasticity of supply is greater than one it means supply curve is flatter.

A consumer spends all his income (in equilibrium) to purchase 50 units of x and 20 units of y when the price of x and y are Rs. 2 and Rs.5 per unit per unit respectively

if the salaries of the journalist go up then the demand curve of the newspaper will shift upward true or false explain

State whether the Statement is TRUE or FALSE. Also write the reason (Without reason your answer will not accepted)

a)     If value of cross price elasticity is positive then it means there are less close substitutes are available of that product.

b)     In case of luxury products, the own price elasticity of demand is greater than one.

c)     If salaries of journalist go up then demand curve of newspaper will shift upward.

d)     When price elasticity of supply is greater than one it means supply curve is flatter.

Consumer buys 10 units of Good A when the price of Good B is $5. When the price of Good B rises to $6 (the price of Good A remaining unchanged) the consumer buys 14 units of Good A.

Part A                                                                                              

Using an appropriate formula, calculate this Consumer’s cross Elasticity of demand for Good A. Show your working.

If salaries of journalist go up then demand curve of newspaper will shift upward.

truth or false with explanation