Economics Answers

A consumer splits their income equally between two goods. If the price of one good increases by 10% and their income increases by 5%, show that the consumer’s optimal consumption bundle will change despite them being able to afford their original bundle.

Dell has gone through some market challenges these past few years, especially with the desktop market. If the prices of desktop computers decreased by 14% last quarter resulting in an increase of 12% in quantity demanded, then Dell will decrease the quantity supplied of desktops by 10%. What is the price elasticity of supply for Dell desktops?

Which of these are true (more than one possible)?

a) The multiplier refers to the impact on income of a change in consumer spending.
b) The multiplier refers to the impact on income of a change in exogenous spending.
c) The multiplier refers to the impact on income of a change in money supply.

International trade and foreign investment can solve the problem identified in the big pus & o ring model?

What type of firm is the cartel?

The relative price of a good is

explain two reasons why the demand for primary commodities might be price inelastic

in each of the following what is the governments role ? Does the governments intervention improve the outcome ?

How can the impact of an increase in the price of petrol on the demand curve for petrol be illustrated ?

A, the demand curve for petrol will shift to the left
B, the demand curve for petrol will shift to the right
C, the demand curve for petrol will remain unchanged
D,the demand curve will become more elastic
E,the demand curve will become more inelastic

C= 200 + 0.5Y I= 800 G= 600 X= 400 M = 300. Where: G is government expenditure, X is exports, M is imports, I is planned investment and C is household consumption.

what is the value of balance of trade?