Economics Answers

If Y = R35 000 and Pr = R20, draw the precise demand curve for product X.

.The following equation; Q = r - kP, depicts -------

Suppose that as a result of the listeriosis outbreak, the department of health has warned against the consumption of Viennas. Explain using a properly labelled diagram, the effect of this in the market for Viennas, ceteris paribus

Given the following inverse demand and supply curves
P=8-Qd/2
P=2+Qs
and assuming the price is fixed below the equilibrium price at $5, what is the loss in producer surplus due to the price ceiling

The answer is $3.50
But how did they get to this ? Please explain.

Is product X a normal or an inferior good?

Classical economists assumed that velocity was stable in the short run. But suppose that, because of a change in the payments mechanism, for example, greater use of credit cards, there was an exogenous rise in the velocity of money. What effect would such a change have on output, employment, and the price level within the classical model?

1. Which among the perceptions of work do you share? Explain your answer.



MODUEL 2-The Workplace
1. Choose an item on the top ten annoyances (or think of your own) and write your reaction to it. How can the problem be best addressed?

Discuss whether GDP is a reliable measure of the difference in living standards between developed and developing countries?

Too much Labour but not enough capital. Is this the most significant difference between a developing and a developed economy?

The profitability of firms is a measure of their efficiency. The higher the profit, the greater the efficiency. High profits should, therefore, be encouraged. Do you support this argument?