The price elasticity of demand for mobile phones
a. will be higher if there is an improvement in the production technology.
b. will be lower if consumers perceive mobile phones to be a necessity.
c. is computed as the percentage change in the price of mobile phones divided by the percentage change in quantity of mobile phones.
d. All of the above are correct.
b
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Consider a small open economy with desired national saving of Sd = 200 + 10,000rw and desired investment of Id = 1000 - 5000rw. If rw = 0.05, then net exports equal
A) 100. B) 50. C) -50. D) -100.
Complete Table 1 by computing the Total Revenue, Marginal Revenue, Total Cost, and Profit columns, each rounded to two decimal places. The cost of duplicating a video on a DVD and mailing the DVD, the Marginal Cost, is $5.56.
b. The President wants the GSTCG to provide videos to generate the most possible donations (Total Revenue). What price is the President of the GSTCG favoring and how many people will receive the DVD if this becomes the price of the suggested donation? Explain your answers. (1 point)
c. The Education Outreach Committee wants the GSTCG to provide videos to the most possible number of people. What price is the Educational Outreach Committee favoring and how many people will receive the DVD if this becomes the price of the suggested donation? Explain your answers. (1 point)
d. The Treasurer of the GSTCG wants the DVD program to be as efficient as possible so that the marginal revenue equals marginal cost. What price is the Treasurer favoring and how many people will receive the DVD if this becomes the price of the suggested donation? Explain your answers. (1 point)
e. The Fundraising Committee wants the DVD program to generate as much profit in donations as possible. What price is the Fundraising Committee favoring and how many people will receive the DVD if this becomes the price of the suggested donation? Explain your answers. (1 point)
A monopoly realizes larger profits than a comparable competitive market by
A. Reducing production and pushing prices up. B. Producing a greater quantity at the competitive price, thereby increasing profits. C. Producing at output levels with more favorable cost structures and charging the competitive market price, thereby increasing profits per unit. D. Setting a higher price at the competitive level of output, thereby increasing total revenue.
Fiscal stimulus involves raising taxes and reducing spending to stimulate the economy.
Answer the following statement true (T) or false (F)