Economics Answers

suppose the markets for grass seed can be follow as demand 100-2p ,supply =3p at the equilibrium ,calculate the price elasticities of demand and supply?what would happen with quantitiy demand if the price reach 30 ?price reach 50

demand 100-2p ,supply =3p at the equilibrium ,calculate the price elasticities of demand and supply

When the price of product A decreased from $2 to $1, the consumer bought 28 units of product B instead of 20. What is the consumer's cross-price elasticity of demand for these two products? What does the calculated elasticity imply about the relationship between product A and product B for this consumer?

Critically discuss elastic, inelastic and unitary conditions/forms of price elasticity of demand through the use of practical examples and graphs...it's 45 mark

1.2 With regard to coal shortages and municipal debts, what forms of interventions do you think Eskom can put in place in order to cover up for all the debts and continue operating? Incorporate relevant graphs in your answer.

It is observed that countries like the US invest in the research and development of new drugs, giving rise to monopoly like situation to their pharmaceutical industry when a new medicine molecule is innovated. This may continue for about five years. Later, during the next five years, pharmaceutical firms in countries like India either imitate this innovation or invest in similar research and development of substitute drug molecules. At the end of such time period, countries like India are in a position to produce a close substitute to the original medicine at a much lower cost. Production picks up over time and then the firms from the imitating country capture the international market.
Explain the process of international trade between innovating country and imitating country with an appropriate diagram, showing the timeline (in number of years) across various phases on the X-axis. Assume that each stage lasts for about five years.

show the matimatical proof for P=AR=MR

Globalization has encouraged countries to specialize in the goods in which they have a comparative advantage. Discuss the implication of this principle of economics to a developing country

A market’s fixed basket of Goods: 100 Tennis Balls; 200 Golf Balls
YEAR PRICE OF TENNIS BALL PRICE OF GOLF BALL
2017 (base year) $2 $4
2018 $3 $6
2019 $4 $7

a) Compute the cost of the basket of goods in each year, the consumer price index in each year and the inflation rate for the year 2018 and 2019.
b) Write the three differences between CPI and GDP deflator.

1. Below are the data of Milk and Honey in an economy
YEAR PRICE OF Milk QUANTITY OF Milk PRICE OF Honey QUANTITY OF Honey
2017 (Base year) $1 100 $2 50
2018 $1 200 $2 100
2019 $2 200 $4 100

a) Compute nominal GDP, real GDP and GDP deflator for each year.
b) Compute the percentage change in nominal GDP, real GDP and GDP deflator in 2018 and 2019 from the preceding year.