2.) (Price elasticity and total revenue) Fill in the blanks for each price-quantity combination
listed in the following table. Now graph this relationship, making sure to label each axis. What
relationship, making s
Due March 12, 2017
Why would firms choose to operate in a perfectly competitive market even though they earn no
economic profit in the long run?
Firms would choose to operate in a perfectly competitive market because
8. (Opportunity Cost and Economic Rent) Define economic rent. In the graph below, assume that the market de
labor is initially D1.
Economic Rent is defined as the difference between what a worker is paid and what he/she is willing to work
DUE: February 26,2017
Chapter 6 Problems
4) (Utility Maximization) The following tables illustrate Eileens utilities from watching first-run
movies in a theater and from renting movies from a video store. Suppose that she has a monthly
Both industrial unions and craft unions attempt to raise their members' wages, but each goes about it
differently. Explain the difference in approaches and describe the impact these differences have on
March 19, 2017
Chapter 9 Case Study
How did the De Beers cartel try to maintain control of the price in the diamond market?
The De Beers cartel tried to maintain control of the price by limiting the supply of rough
diamonds mined oth
Agency representation,"the type of representation by which representatives are held accountable to their constituency if they fail to represent that constituency properly. T his is the incentive for good representation when the pe
Final Exam Review
Find the slope (rate of change) of the straight line connecting the points (1,2) & ( 3,1) .
Calculate the following limit:
If f ( x) = 3x 4 2 x 3 + 7 x 2 8 x 1 , find f ( x ) using the power rule.
If f ( x )
ability-to-pay tax principle (Chapter 3)
Those with a greater ability to pay, such as those earning higher incomes or those
owning more property, should pay more taxes
absolute advantage (Chapter 2)
The ability to ma
Quantity demanded is the number of the units that are demanded and at a particular price.
Point A on the graph employs on the D1 curve CDs sold at 10$ demand roughly 20
If CDs remain normal goods, then an income increase will als
First of all point A that crosses the supply (S) and demand (D) is the equilibrium on the
graph, and it is set at $1.65 per gallon, resulting in the exchange of 53 million gallons.
The ceiling price is set at $1.25, and point B determines the quantity dem
Due March 5, 2017
Chapter 7 Assignment
(Explicit and Implicit Costs-6 points) Amos McCoy is currently raising corn on his 100-acre
farm and earning an accounting profit of $100 per acre. However, if he raised soybeans, he