Tag: Economics – Others

Multiple Choice Question
Given that there are many different kinds of cereal that people can buy, the price elasticity of demand for any particular brand of cereal is likely to be relatively high or low.
relatively high
low

Most Canadians feel it is desirable to allow individual businesspersons and corporations-rather than some centralized governmentagency-to provide the goods and services they require.True or False

In general, command and mixed economies failed to deliver the kind of sustained economic performance that was achieved by countries adopting market-based systems.True or False

The U.S. government measures inflation using which of the following?
Group of answer choices
Gross domestic product
Index of leading economic indicators
Consumer price index
Consumer confidence index

Use Document 3: Evidence Given Before the Sadler Committee.
Based on the child labor conditions,discuss why so many consider that the Industrial Revolution was a curse for the industrial workers

A new engineer plans on depositing $250per month in an account that pays 6%annual interest with monthly compounding.How much of a down payment for a househas the engineer accumulated after ayear?

Explain whether each of the following is included in only M1, only M2, or both M1 and M2:
(a) Travelers checks
(b) Savings deposits
(c) Certificates of deposit
(d) Checking account deposits

Which of the following means productivity must have increased?
Multiple Choice
less output from more workers
less output from fewer workers
more output from more workers
more output from fewer workers

Assuming a $7 per unit tax is imposed, in calculating the realative burdent of the tax does it matter whether the government is collecting the tax directly from sellers or from buyers? YES NO

In a competitive market, the market demand is Qd = 60 – 6P and the market supply is Qs = 4P. The full economic price under a price ceiling of $3 is?The answer is “8”, but how do you get there?
Find the unconstrained equilibrium:
Set Qd = Qs: 60 – 6P = 4P → 60 = 10P → P* = 6. Then Q* = 4P* = 24.
Determine whether the ceiling is binding:
Price ceiling Pc = 3 < P* = 6, so it is binding. Compute quantities at the ceiling: Qd at P = 3: 60 - 6(3) = 42. Qs at P = 3: 4(3) = 12. Shortage = 42 - 12 = 30. Find the extra (implicit) payment needed to clear the market: Let x be the extra amount buyers effectively pay above the legal price (black‑market premium or non‑monetary cost). Then demand at price 3 + x must equal supplied quantity 12: 60 - 6(3 + x) = 12 → 42 - 6x = 12 → 6x = 30 → x = 5. Compute the full economic price: Full economic price = official price + extra = 3 + 5 = 8 .