If the Federal Reserve raises the interest rate, the price of an office building would adjust so that the cap rate of this building. first decreases and then increases stays the same decreases increases

Q: What causes the changing of data points in the initial demand curve?

A: Answer: Introduction: The demand curve shows the inverse relationship between the price of a good…

Q: Which is not a determinant of demand? *   A) income B) the cost of inputs in production C) the…

A: Supply of a good such as oil and phones is the number of units that its suppliers or producers are…

Q: A car rental agency lowers their rates by 10 percent. If the agency wants to recoup the income lost…

A: If the demand for cars is elastic then, the percentage change in quantity demanded is more than the…

Q: Why should the owner of the crude oil resource be willing to supply it in exactly the right amount?…

A: The link between the price level and overall economic production is aggregate supply. The aggregate…

Q: b. Goolsbee estimated that the short-run elasticity of "income supply" for these executives was 1.4,…

A: Elasticity, which gauges responsiveness, is pivotal in forecasting firm income. Analyzing how demand…

Q: Qa=20-4P Qs = 2+P-w Qs = la = Q Where Q and P are respectively the equilibrium quantity and price, w…

A: Equilibrium Quantity: This refers to the quantity of a good or service that consumers are willing to…

Q: Consider the market supply of tortillas. Complete the following table by indicating whether an event…

A: A supply curve shows the quantity supplied by producers at different price levels. Quantity supplied…

Q: Shortages normally accompany an effective price floor.  True  False

A: Shortage is occurs when the demand is high in market supply is low. When there is a shortage of food…

Q: Complete the following table by indicating whether an event will cause a movement along the supply…

A: Supply curve shows a positive relationship between price and quantity supplied.

Q: A perfectly inelastic demand schedule can be represented by a line parallel to the horizontal axis O…

A: Perfectly inelastic demand is the situation wherever there no modification in amount demanded even…

Q: Decide if the factors in the table will cause which of the following movements to happen in the…

A: i) An increase in the prices of substitutes of TV? Answer: A = A shift of the demand curve, and F =…

Q: what happens to the market price for rental cars as a result of the demand shock

A: The objective of the question is to understand the impact of a demand shock on the market price for…

Q: Why expectation for future prices is one of the factors that can affect supply?

A: Supply is a positive function of price. Firms increase their supply when the price of their goods…

Q: Predict how each of the following economic changes will affect the financial market for home loans.…

A: A demand curve can shift so that more or less of the commodity would be demanded as at any commodity…

Q: Suppose that an increase in the supply of a good causes expectations of future price decreases to…

A: Change in demand refers to a shift in the demand curve due to a variety of changes in non-price…

Q: Decide if the factors in the table will cause which of the following movements to happen in the…

A: NOTE:  Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: The factor(s) which cause(s) a movement along the demand curve include(s):

A: A movement refers to a change along a curve. On the demand curve, a movement denotes a change in…

Q: n the first few months of 2018, the price of melons increased by approximately 75%.  Because of this…

A: There are five things that will shift a supply curve to the left and that are 1. Input prices.2.…

Q: Refer to the above graph to answer this question. How could you describe the movement from point D…

A: Demand curve represents the quantity demanded corresponding to different price level. Demand curve…

Q: When the price of Coke goes down, the demand curve of Pepsi will likely shift towards left. True…

A: Demand shows inverse relationship between price and quantity demanded of the good.

Q: If the demand of a company can be expressed as P = 750 - 2 Q^ 1.5, where Q is the quantity and P is…

A: Given  Demand of a company: P=750-2Q1.5          ... (1) Where Q represents the quantity and P…

Q: Suppose Pepsi Cola, which includes Mt. Dew and several other sodas, purchased Coca-Cola & Coke’s…

A: A market is a place where the goods and services are bought and sold between the two economic…

Q: Hi, can you explain why number 4 in the attached screen shot is answer B and not A? Why is supply…

A: We can calculate elasticity using the formula shown below.

Q: Compare and contrast the law of demand vs. the law of supply. Keeping the law of demand and the law…

A: The equilibrium price and quantity of a good or service are determined by the forces of demand and…

Q: The biggest employer in the city is closing. Predict what will happen to the city's real estate…

A: The closure of the biggest employer in the city represents a significant economic shock. It not only…

Q: explain why: a)the price of oil could have increased between 2004 and 2008. b) the price of oil…

A: When talking about oil prices, it can be said that oil is the widely used natural resource whose…

Q: a. List three factors that will shift the demand curve for sugar and three factors that will shift…

A: Three factors that can shift the demand curve of the sugar are: 1. Price of the related goods -…

Q: What theories are best related to the effects of rise in prices on housholds?

A: Economic theories refer to models or frameworks developed by economists to explain and predict…

Q: Discuss in detail, demand function and its factors

A: The markets are the place where the sellers, or suppliers of goods, and services meet, and interact…

Q: If the demand function for a commodity is given by the equation  p2 + 4q = 1200  and the supply…

A: Equilibrium quantity is that quantity at which quantity supplied and quantity demanded are equal.…

Q: if supply decreases by 30%, would the price increases by the same amount? if not, why

A: A decrease in supply will make the harmony price rise; the amount requested will decrease. To figure…

Q: Consider the market supply of peanut butter. Choose whether each event will cause a movement along…

A: Supply is defined as the stock of goods available in the market. The producers will produce goods on…

Q: Give one example when there is an increase in the supply curve.

A: Supply curve: A supply curve is a curve that shows the relationship between the price or costs of…

Q: Explain what happens to Pe and Qe when supply increases and when supply falls.

A: Case I: When supply increase With everything else remaining constant, an increase in supply will…