I came across this question in my exam but I did not recall reading about it AT ALL.
I'm aware the equation for the simple multiplier is 1/1-z, where z = MPC or MPC(1 - t) - m with government and exports included.

Another equation is also change in (Y/A).

However, I cannot understand how to find the value with price level variation.

Hello, I am a junior currently taking management and economics courses in the Interdisciplinary Program. For our senior paper, we were tasked to make a thesis paper (a research paper, an applied research, or creative output) regarding our courses.

I already have a few in mind but I need help relating economics (microeconomics to macroeconomics, theories) to management (marketing, accounting, finance, leadership, business) and finding a topic that is practical and relevant. So, if you have a few ideas about possible topics, it will help me a lot because I just need a little more creative idea on how to integrate the two. Thank you so much!

I am getting tripped up on a homework question that is asking me about MPL but I was not given a graph or the number of workers. Any help would be appreaciated. The question reads as follows:

Suppose that the production function is

Y = 9K0.5 N0.5

The capital stock is

K = 25

The labor supply curve is

NS = 100[(1 − t)w]2

Hi not sure if this should be in this sub. I know very little about economics. What are 2-3 good books to learn the foundations

I am referring to the following formulas:

Real GDP per effective worker: y = Y / (E *L)

• y = Real GDP per effective worker
• Y = Real GDP
• E = Efficiency of Labor
• L = Labor

Real GDP per worker: Y / L = y * E

If real GDP per effective worker, Y / (E*L), increases, and E decreases, then what happens to Y / L?

My textbook asserted that if E decreases, then Real GDP per effective worker increases. Makes sense. But we defined Y / L as y * E or Y / (E *L) * E. E cancels out here and we are just left with Y/L. I have no idea what happens to Y/L based on the formula I was given.

Join Draw and explain the indifference curve! From this perspective, comment on the news that, due to changing dietary habits, the average Indonesian is choosing bread over rice (Delo Posel&denar, 4.7.2011, p. 32). Draw and explain an indifference curve system for an Indonesian who sees 0.5 kg of rice as perfectly equivalent to 1 kg of bread! What is the marginal rate of substitution (MRS) in this case? What happens to the MRS if their income increases? if the professor asks me to draw on the graph what happens to the MRS is the income increases (i think it doesnt change, right???) pleasssse help ive tried solving it on my own and i am so stuck. love u thanks

The demand for a product sold by a monopolist is described by the following equation Q = 100 - 2P where Q is the quantity and P is the price per unit. The total cost function of the monopolist is TC = 5Q + Q2. (2 is an exponent but won’t let me type that)

Find the firm's profit-maximizing quantity, price and calculate the maximum profit

My answers so far are as follows: Q*=15, P*= 42.5, Profit = 337.5. Are these correct?

Shouldn't it be equal to -MU1/MU2 instead?

Equations:

- Cobb-Douglass Production Function: Y = AK^(alpha)L^(1-alpha)

• Y = real GDP
• A = total factor productivity
• K = capital
• L = Labor

- Per-worker Cobb-Douglass Production Function: y = Af(k)

• y = real GDP per worker
• A = total factor
• k = capital per worker

- Note that marginal product of capital (MPK) is the derivative of Y with respect to K. We can also write MPK as MPK = (alpha) (Y / K)

For the following question:

Some firms produce in both China and the United States. Assume that the labor and capital markets in the two countries are not currently in equilibrium. Suppose that the marginal product of capital in the United States is​ $100 per dollar of​ capital, and the real rental cost of capital is​ $50. Assume further that the marginal product of capital in China is​ $20 per dollar of​ capital, and the real rental rate of capital is​ $5.

Profit-maximizing firms would move production to China since the ratio of MPK / real rental cost is higher.

What would happen to the marginal product of capital in each country if this reallocation​ occurred? What would happen to real​ wages? As the firms begin reallocating capital in the best​ profit-maximizing way, which of the following would most likely​ occur?

• I'm confused on why the marginal product of capital would decrease in the US. If capital units are flowing out of the US due to reallocation of production, wouldn't MPK increase?
• What happens to real wages in this scenario? The textbook answer key where I'm getting this from doesn't answer but I assume real wages increase in China (since more capital is being invested per worker) and wages decrease in the US (since less is being invested per worker).

This is all the information given in the problem:

> A company's variable cost is given by the function VC(Q) = 2 * Q^(1.6), where Q is the amount that is produced. The profit maximizing amount, Q* = 980, is coincidentally the same amount that minimizes the average cost per unit.

> What is the company's fixed cost?

I'm not an economics student, just taking a course. I don't understand how the answer can be found here. What is the significance of Q* = 980 being the profit maximizing and cost minimizing amount? There is no total cost given

So my question is fairly simple. Does getting the derivative of the MRS (marginal rate of substitution) and proving that it is less than zero represent that MRS is diminishing? and if that is not the case how can we prove that MRS is diminishing.

If we have two goods x1 and x2 where x 1 is on the x axies and x2 is on the y axis. I know that we can technically get the MRS from the utility function and as we increase x1 the MRS should be decreasing by a decreasing rate and this proves that MRS is diminishing. but is there any other way to do it? using derivatives maybe?

Hi I am writing a paper about this topic, and am delving into welfare economics papers, but it seems I am not able to find any in depth paper or book about this particular subject's historiography and methology. Any suggestions or pointers would be appriecated.

Hi I'm a final year undergraduate student and I am majoring in political science and my minor is economics.In the beginning, I faced no significant issues in studying economics.Until now I have pretty decent score in economics but suddenly I am finding it hard to concentrate on it.I start feeling anxious whenever I study it and this time we have International economics in the syllabus.I have my exam coming up in 5-6 days and I haven't even completed half of the syllabus this time.How can I study it in a way I don't feel burnt out?

Hi everyone, I've been reviewing past homework ahead of an exam, but haven't managed to figure out this type of question (even with answer key). I keep trying to do the questions the way that seems to make sense, and getting nowhere.

Are there any good resources, ideally with worked solutions, on profit maximisation with externalities (positive or negative) via optimising for a "combined firm"?

Thanks!

i. AD-AS Model: Show the potential shift in aggregate demand and supply due to wage changes and interest rate cuts.

ii. Unemployment and Wage Curve Diagram: Illustrate the inverse relationship between unemployment rates and wage levels.

i. Tax cut would shift AD to the right

Increased wages means AS curve shifts to left

Decreased wages means AS curve shifts to right

Change in interest rates dont affect the AS curve

ii. isn't this the phillips curve?

i. AD-AS Model: Show the potential shift in aggregate demand and supply due to wage changes and interest rate cuts.

ii. Unemployment and Wage Curve Diagram: Illustrate the inverse relationship between unemployment rates and wage levels.

I have this as my answer for now but I am not sure how to draw the graph since the question doesn't state what direction the wages are changing in.

i. Tax cut would shift AD to the right

Increased wages means AS curve shifts to left

Decreased wages means AS curve shifts to right

Change in interest rates dont affect the AS curve

ii. isn't this the phillips curve?

My economics teacher said that if the supply curve touches the y-axis, in all cases, it is relatively elastic. And if the supply curve touches the x-axis, in all cases, it is relatively inelastic. Now, I do know that when a supply curve touches the origin, that is always unitarily elastic. However, is it true that the relative elasticity and inelasticity of the supply curve can be judged by whether it touches the x-axis or y-axis? And if yes then i would appreciate if someone describes the logic behind it..

Hello,

I’m looking for a book, or a series of books, that could help me connect and rationalize the knowledge I already have about the Western world's economics and 20th-century economic theories.

Specifically, I’d like something that takes a broad view and helps connect various ideas.

To draw a parallel with financial markets, I’m looking for a book like A Random Walk Down Wall Street, which presents key theories without delving too deeply into technical details that could be explored elsewhere.

Greetings! I am currently conducting research on the US, and for it I require data from BEA that dates back to 1990s (specifically 1997, when the NAICS has been introduced). The data I need is county-level. When I head to the archive for GDP by county and metro level, the only data that's available dates back to 2017. Maybe I am doing something wrong? Where can I find older data for county and metro? I may need other county level data from other categories on the website.

Currently writing an essay for my starters economics class over here in the UK. The question revolves around the ozempic, and if the us government should provide a subsidy for it. As a point of comparison, I was going to argue that the governments could instead leverage a campaign to raise awareness of the treatment. I’m happy for most of the analysis, I’m just struggling with analysing the diagram.

https://imgur.com/a/AFQPQyq

I’ve drawn a crude Sketch of what the diagram looks like, I understand That the demand will shift up. What doesnt make sense to me is that the deadweight welfare gain shrinks - surely it should expand in this case. Makes me think that I’ve got something wrong. Many thanks.

Hello guys,

I am taking a microeconomics course and was fascinated to learn the world about Oligopoly and how anti-trust laws exist to avoid extreme industry consolidation. Turns out that the oil & gas, telecom, airline, and mass-media industry are some of the notable oligopolistic industries.

I want to focus on airline as there is historical financial data available (shares outstanding etc) with M&A. However, I want to perform more of an analysis to not just airline but any industry I mentioned earlier. How should I start? because I don't see a lot of data available to make this project. I have not taken Econometrics yet but I do know least squares regression method from my linear algebra course I have taken previously. Any advises to start to ensure my project shines? This is not related to school, but I love working on projects independently!

Pls see my work and MathJax at https://economics.stackexchange.com/q/31981

Hello everyone! This question has been troubling me:

Tim consumes only apples and bananas. He prefers more apples to fewer, but he gets tired of bananas. If he consumes fewer than 29 bananas per week, he thinks that 1 banana is a perfect substitute for 1 apple. But you would have to pay him 1 apple for each banana beyond 29 that he consumes. The indifference curve that passes through the consumption bundle with 30 apples and 39 bananas also passes through the bundle with A apples and 21 bananas, where A equals:

a. 25 b. 28 c. 34 d. 36 e. None of the above

According to my understanding, when banana consumption<29, the slope of the indifference curve upto 29 bananas is -1 since " he thinks that 1 banana is a perfect substitute for 1 apple". According to this logic, shouldn't the answer be 21 apples as at any level of bananas less than 29, Tim prefers both fruits equally?

The answer key provided by my instructor says the correct answer is 28.

I'd appreciate it if someone could explain where I'm going wrong. Thankyou in advance for your time!

so i was doing some practice questions from here: http://www.econ.ucla.edu/sboard/teaching/econ11_exams.pdf

the question:

A consumer has utility U (x1, x2) = ln(x1) + 2 ln(x2) and income m.

a) Find the uncompensated demand for x1 and x2, and find the indirect utility function

b) Use the own price Slutsky equation for x1 to determine the substitution effect.

c) Find the compensated demand for x1 and x2 and the expenditure function e(p1, p2, u).

i can solve the a) and c) but i'm kinda stuck at the b)

this is the answer from the pdf

this is how im doing it. as i said the a) matches with the answer but the b). why is there an extra M in my answer?? am i doing something really wrong?? i can feel im making a reallly stupid mistake but i genuinely can't figure it out

An analyst trying to determine the net social benefits generated by the city’s public swimming pool. At the current admission price of $1, 800 people visit the pool annually. The total cost is $1,000 annually. Thus the pool run a deficit of $200.

Why does the dTR/dP have to be greater than 0 in the table? what does that even mean? I don't understand what this means?

I have a question with the following table:

The question is: calculate the rate of inflation in the year of 2019 (assume 2010 as base year). Then calculate the rate of inflation between 2018 and 2019.

The second part is straightforward but I'm confused as to what the first part entails. Should I just do 117.4-100 or rather 117.4-100 divided by (2019-2010) to get the average inflation rate? Or something else?

Thank you

Hi, I have a midterm for microeconomics tomorrow at 6:30 PM EST, I need to cover a lot of things and having difficulty understanding the concepts. The concepts that I have to study are: 4 core principles of economics, demand, supply, equillibrium, elasticity, (taxes price controls and quantity regulations) and welfare economics: evalutaing maret efficiency and market failure. If you can please reocmmend some resoruces, videos, tutorials. I have a textbook but having a hard time understsnding things from it

Hello ! I am trying to understand and to plot the IS-LM-BP graph and its steps.

Do you know some online simulator, please

example The Keynesian IS-LM Model | Wolfram Demonstrations Project