Economics Answers

Fiscal policy is action taken by ______________ to stabilize the economy.

The individual’s demand curve for a commodity represents a maximum boundary of the individual’s intentions True or false. Explain

Suppose a firm producing coffee provides you with the following information:

Price = R100

Quantity = 150 units of coffee

Cost of production = R9 500

7.3.1. Calculate the total revenue of the firm. (1)

7.3.2. Is the firm currently making a profit or a loss? Explain. (2)

The market supply curves and market demand curves for books are given as follows: supply curve:P = 0.000002Q, Demand Curve:P = 11- 0.000002Q, The short-run marginal cost curve:MC = 0.1 + 0.0009Q, the equilibrium quantity of books is?

Which of the following is correct regarding the effect of expansionary monetary policy in the Keynesian model?

a. 

The consumption function swivels downward showing a fall in aggregate spending and income.

a. The consumption function swivels downward showing a fall in aggregate spending and income.

b. 

The aggregate spending curve will shift downward showing a fall in aggregate spending and income.

b. The aggregate spending curve will shift downward showing a fall in aggregate spending and income.

c. 

Investment spending will increase, which is shown by an upward shift of the aggregate spending curve.

c. Investment spending will increase, which is shown by an upward shift of the aggregate spending curve.

d. 

Firms will choose to invest less.

Suppose the sanctions are imposed on South African economy decreased the marginal propensity to import, how will the size of the multiplier be affected?

a. 

It will stay the same.

a. It will stay the same.

b. 

It will increase.

b. It will increase.

c. 

It will decrease.

Assume that the egg industry is perfectly competitive and is in long-run equilibrium with a perfectly elastic long-run industry supply curve. Health concerns about cholesterol then lead to a decrease in demand. Construct a figure similar to Figure 7-7 from your pdf text (page 263 of 698), showing the short-run behavior of the industry and how long-run equilibrium is reestablished.

Inferior goods and giffeb goods are synonymous since the two goods relate to the consumer's purchases. True or false, explain

The statement "other things being equal" has no effect in the study of economic phenomenon and therefore can be ignored. True or false, explain

Discuss how these maritime transport service providers interact jointly to form a viable maritime transport chain.