Economics Answers

Using the formula Qs=100+5P, compute for the quantity supplied of a product at P0

Explain in detail the price decomposition of a price rise in case of giffen goods.

Does tax revenue always increase with increase in tax rate? Why or why not. Explain.

Can the government ensure that the effect of a food tax imposed on sellers is borne only by

the sellers? Why or why not?

After observing the impact of price controls, a government official commented that Market economy is a good way of organizing economic activity, do you agree or disagree.

When a firm uses different factors of production or at least cost combination the optimum combination of factors is achieved when MPL / PL = MPL / PL. Intuitively explain this statement

Martha s preference over two goods x and y is represented by the utility function U = 5xy. Her budget constraint is given by 5x +y =30. Plot budget constraint with y on the vertical - axis on the horizontal axis.. Find the marginal utility of x and y...Find the MRS.. Find the MRT...Given her budget how much of each good should she consume in order to maximize her utility show your work.

Nowadays it even harder to get a job with a fake certificate?

Name the factor of production depicted in the cartoon?

Given the Cobb - Douglas production q1 = 50l0.3K0.5,q2 = 50L0.4K0.6,and q3 =50l0.5K0.6..Calculate the level of output when L = 10 and K = 15 for each production function.. Calculate the level of output when both inputs double L = 20 and K =30...What types of returns to scale does each production function exhibit

why should a firm increase its output when MR > MC and decrease its output when MR < MC? Explain