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A Limited supply of a product remains available
10 examples of positive and normative statements
With fixed cost of ksh 400,000 a firm has an average total cost of ksh 3000 and average variable cost of ksh 2500 find it's output
3. Why does a demand curve generally slope downward
Assume the price of good Y rises from Birr 120 to Birr 160 per Kg. and as a result, the consumer demand for good X increases from 50 Kg to 90 Kg. Calculate the cross elasticity of demand of X for Y. 9. Suppose price of a good falls from Birr 12 to Birr 10 per unit, as a result its quantity demanded increases from 100 to 120 units. A) Find price elasticity of demand, and demand for a good is elastic, inelastic, or unit elastic. B) Calculate TR (Total Revenue) at price Birr 12 & 10. C) What is the relationship between TR and price elasticity of demand?
The quantity supplied of a commodity at a price of Birr 10 per unit is 500 units. Its price elasticity of supply is 0.5 A) Calculate the price at which its quantity supplied is 600 units. B) What quantity of this commodity will the seller supplied when the price rise at Birr 12 per unit? C) What quantity of this commodity will the sellers supply when price rises by Birr 4 per unit?
Assume that the dd & ss function of good Y is given as follows respectively; Qdy =30 - 2Py and Qsy = 16Py - 60. Answer the following questions on the basis of the given information. A) Find the equilibrium price and equilibrium quantity B) What price would bring for the supply of 60 units of good Y? State the condition of the market for the good at the price. C) At what price would no amount of the good be supplied? D) What would be the amount demanded if good Y were a free good?
Given the following market demand and supply function of good X is respectively Qd= 100 - 2P and P = 1/2Qs + 10, find the equilibrium price and equilibrium quantity.
Suppose the slope of linear demand curve equals -2, the average price equals 8 Birr and the average quantity demand = 100 units, A) Calculate the arc-elasticity of demand. B) Is demand elastic or inelastic? C) Interpret the result
.Assume the price of good Y rises from Birr 120 to Birr 160 per Kg. and as a result, the consumer demand for good X increases from 50 Kg to 90 Kg. Calculate the cross elasticity of demand of X for Y. 9. Suppose price of a good falls from Birr 12 to Birr 10 per unit, as a result its quantity demanded increases from 100 to 120 units. A) Find price elasticity of demand, and demand for a good is elastic, inelastic, or unit elastic. B) Calculate TR (Total Revenue) at price Birr 12 & 10. C) What is the relationship between TR and price elasticity of demand?
