Economics Answers

Suppose you have two part time jobs, babysitting and pizza delivery. After younger babysitters start working for less, babysitting clients only pay $8 instead of $10 per hour. What happens to your supply of hours for delivering pizzas? explain.

Suppose a market is in equilibrium and both demand and supply curves increase. What happens to the equilibrium price if demand increases more than supply?

Explain why labor union leaders are strong advocates of raising the minimum wage above equilibrium wage?

explain the relationship between the demand curve and the law of diminishing marginal utility?

Country A has a mixed economy with free-market leanings. Country B has an absolute command economy. Both want to increase corn product exports. Which action would Country A most likely take that Country B would not?

which object has the lowest elasticity of supply ?
A.luxury goods
B.necessity good
C.Perishable good
D.none of the above

Assuming the market equilibrium price for wheat is $5 per bushel, draw the total revenue and the marginal revenue curves for the typical wheat farmer in the same graph. Explain how marginal revenue and price are related to the total revenue curve.

International economics

consider an economy imposing an export subsidy.

a) assume that economy is small so that changes in the terms of trade can be ignored. Explain the effects on trade volume and aggregate domestic welfare.

b) following a), suppose instead that the government provides the subsidy for every unit that the home firms produce. Illustrate the welfare implications of this production subsidy and compare them with the case with the export subsidy.

c) assume that the economy is large and hence terms of trade will be affected. Explain the effects on trade volume and aggregate domestic welfare and compare the social welfare with the case where the country imposes a positive import tariff.

How has the us gov tried to limit the economic failure of inadequate information?

You have opened your own word-processing service. You bought a personal computer, and paid $5,000 for it. However, due to the cost changes in the computer industry, the current price of an equivalent machine is $2,500. You could sell any used machine for $1,000. If you were not word processing, you could earn $20,000 per year at an alternative job. Assume that the interest rate is 10%. You can also hire an assistant who can do everything that you can do for $20,000 per year (you would still continue to do word processing).

One person using one computer can produce 11,000 typed pages per year, and the price per page for your service is $2.

You are considering three options: (1) expand your business by hiring an assistant; (2) leave your business the way it is; (3) shut down. Based on the costs and revenues above, which should you do? Explain and show any relevant calculations.