# Homework 5 Answer Key - ECON 1014-01 HOMEWORK#5 DR...

• Homework Help
• 10

This preview shows page 1 - 4 out of 10 pages.

ECON 1014-01 HOMEWORK #5 DR. PODGURSKY Due: 12/11/2014. Homework can be turned in after class or by 4:00 p.m. at the Econ Help Desk in 1A West in the Professional Building. No assignments will be accepted after 4:00 p.m. on 12/11/2014. Please print this assignment from Blackboard and staple!!! (Show your work if specified) Name: ___________________________________ Pawprint ID: ______________________ Chapter 19 Use the following to answer questions 1-3. Figure: Defense Spending Policy Spectrum 1. Refer to the figure. If there are only two candidates, A and B, and defense spending is the only issue being debated in this election, who is the median voter? (1 pt.) Tuppence 2. If there are only two candidates, A and B, and defense spending is the only issue being debated in this election, which candidate will win the election? (1 pt.) A 3. If A, B, and C are all candidates in the election, and defense spending is the only issue being debated, based on the median voter theorem, which candidate will win the election? (1 pt.) C

Subscribe to view the full document.

Score ______ / 39 + 20 Chapter 11 4. The table shows the TR and TC schedules for a competitive firm. Using your knowledge of cost and profit structures, fill in all the missing blanks. (3 pts.) (3 points, -1 for less than 3 mistakes; Give partial credit if an early mistake leads to other misses, yet the student has properly computed later values. Be generous!) Table: Cost Schedules Q TR (\$) TC (\$) Profit MR MC 0 0 50 -50 –––– –––– 1 50 60 -10 50 10 2 90 75 15 40 15 3 120 97 23 30 22 4 140 122 18 20 25 5 150 152 -2 10 30 Chapter 5 5. Compute each of the following elasticities and state whether demand or supply is elastic, unit elastic, or inelastic. Use the midpoint formula: (1 pt. for calculation; 1 pt. for elasticity) a. As Q D decreases from 10 to 5, P increases from \$2 to \$2.25. What is E D at 5? (2 pts.) b. As Q D increases from 5 to 10, P decreases from \$2.25 to \$2. What is E D at 10? (2 pts.) c. As Q S decreases from 10 to 5, P decreases from \$4 to \$2.25. What is E S at 5? (2 pts.)
Chapter 4 Willingness to pay for 1 lb of bananas Jill \$2.00 Joe 1.25 Jane 0.75 James 0.25 6.

Subscribe to view the full document.

• Fall '08
• RYAN

{[ snackBarMessage ]}

###### "Before using Course Hero my grade was at 78%. By the end of the semester my grade was at 90%. I could not have done it without all the class material I found."
— Christopher R., University of Rhode Island '15, Course Hero Intern

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern