Individual and Market Supply Curve Quantity Price Supplied (gs) of Palay in Luzon (PhP/kg) (in billion kg) 11 12 20 25 Quantity Supplied (qs) of Palay in Visayas (in billion kg) 3.0 3.5 Quantity Supplied (qs) of Palay in Mindanao (in billion kg) 4.0 4.5 Quantity Supplied (Qs) of Palay in the Philippines (in billion kg)

Individual and Market Supply Curve Quantity Price Supplied (gs) of Palay in Luzon (PhP/kg) (in billion kg) 11 12 20 25 Quantity Supplied (qs) of Palay in Visayas (in billion kg) 3.0 3.5 Quantity Supplied (qs) of Palay in Mindanao (in billion kg) 4.0 4.5 Quantity Supplied (Qs) of Palay in the Philippines (in billion kg)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

In Example 2.8, we examined the effect of a 20-percent decline in copper demand on the price of copper, using the linear supply and demand curves developed in Section 2.6. Suppose the long-run price elasticity of copper demand were -0.80 instead of -0.50. Assuming, as before, that the equilibrium price and quantity are P* = $3 per pound and Q = 18 million metric tons per year, derive the linear demand curve consistent with the smaller elasticity. With a long-run price elasticity of -0.80, the linear demand curve is OA. Q=33.40-4.80P. OB. Q 32.40-6.80P. OC. Q=33.40+ 6.80P. OD. Q 32.40-4.80P. OE. Q=32.40 + 4.80P.
Online the timing and tailoring of prices to specific products is the key to successful pricing in online markets. And " Thanks to the ready availability of data in online markets, a pricing manager can easily approximate the elasticity of demands for the different products it sells online." Assuming a 10 percent decrease in price increases sales by 30 percent, calculate the price elasticity of demand? If the wholesale price of the online product is $50 and sells at a price comparison site that charges $0.50 per click and boasts a conversation rate of 5 percent ( an average of 20 percent clicks are needed to generate sale), the incremental cost of each sale is $50. What price should you change for the product? What is the markup? B) . The authors assert that price sensitivity is affected by (1) product cycle, and (2) number of competitors. In fact, " When the number of competing sellers doubles, a firm's elasticity of demand is expected to double ( you should be able to verify this…
Please answer as accurately as pos
Q8 plz help quick!!The aggregate demand for the mushroom pasta for each day is given by q = 200 - 4p, where p is the price of the pasta. If the price is $20, then the price elasticity of demand is 01 O 0.666 O 15 O 0.333
$/Unit B) 20 $10---- $5 q 50 What is the elasticity of residual supply faced by the USA in the cashew juice market, where the market supply elasticity is 1, the elasticity of demand of the other countries is -2, and the U.S. imports 10% of the world's cashew juice production? A) 14 C) 34 LRMC D) 28 LRAC
Hand written solutions are strictly prohibited
You are the manager of a firm that receives revenues of $60,000 per year from product X and $80,000 per year from product Y. The own price elasticity of demand for product X is -1.5, and the cross- price elasticity of demand between product Yand X is -1.4. How much will your firm's total revenues (revenues from both products) change if you increase the price of good X by 2 percent? Instructions: Enter your response rounded to the nearest dollar. Use a negative sign (-) if applicable. %24
The US demand curve for transporting freight by truck is а° - 580B - 60в "Р, where B denotes billion. Here, P is the price to transport a standard shipping container one mile, and quantity Q is the number of shipping-container-miles transported in a year. The marginal cost of transport is $1/mile (i.e., fuel and driver costs). Each truck can drive up to a maximum of 100,000 miles/year. Assume each truck carries one shipping container. The annual fixed cost of operating a truck is $200,000. Consequently, the average cost of a truck that drives q miles a year is ($200,000/q) +$1. All trucks have the same costs. There are no barriers to setting up a new trucking firm and/or acquiring additional trucks, and there are large numbers of people capable of running a trucking firm. Part (a) Sketch average and marginal costs for a truck, as a function of miles driven. Part (b) (i) (ii) (ii) (iv) (v) What is the price-per-mile of transporting freight by truck? How many miles does the combined US…
Suppose that the demand curve for a product is given bye Q = 100 – 2 Px + 7 Py,“ where P = £20, where P, = £20 is the price of another product- %3D a) Calculate the demand for good X in this market at the current price level. How much revenue would the firm make? b) If the firm wishes to increase total revenue, would it need to increase or decrease the current price of good X? c) Calculate the cross-price point elasticity between goods X and Y at the current price level. Are the goods complements or substitutes?
You own Earthworm Excavators. Your company is the sole manufacturer of super-sized excavators that are used in the world’s largest mining operations. The U.S. has recently lifted export restrictions on the product you sell, so you can now sell your equipment in the world market along with sales in the domestic market. You hire an economist to estimate the following (inverse) demand curves per year for these distinct markets: Domestic market : Pd = $1200 - $10QdForeign market : Pf = $600 - $5Qf where P refers to prices charged in each market in thousands of dollars and Q refers to the annual quantities demanded in each market. The total costs (in thousands of dollars) of your annual operation are given by: TC = 900 + 200Q a. If you decide to offer you machines at a single price to all potential buyers, at what price will the foreign buyers be priced out of the market?b. What is the market demand function if you decide to offer the machines to all potential buyers at a single…
The total/aggregate market demand for rubber erasers can be segmented into two components. The first component is the demand for rubber erasers by art students. This demand is given by Qa=10,000-250P. The second component is the demand for rubber erasers by all other purchasers. This demand is given by Qo=15000-500P. a) Draw the demand curve for art students, the demand curve for other purchasers and the aggregate demand curve b) Derive the algebraic expression for the aggregate demand curve. c) If the equilibrium price is $20, determine the consumer surplus for art students.
Q3. Refer to the diagram. Using the midpoint formula, calculate the price elasticity of demand between the prices of $15 and $12. Accordingly, state whether demand is elastic or inelastic between these two points. P$/unit 15 12 D 18 22 Q (units/week) Ep = Damand ie ... Q4. For each case below, answer the bolded questio Classification of the Case Calculations product(s) if requested to do so 1. Suppose that a 2% increase in income in the economy decreases the quantity of gadgets demanded by 1% ar every E,= Gadgets are possible price. Find the income elasticity of demand and dassify the product accordingly (state whether gadgets is a normal, necessity, luxury or an inferior product). 2. A firm finds that its price elasticity of demand is 4.0. Currently, the firm is selling 2000 units per month at $5 per unit. Price must be lowered by= If it wishes to increases its quantity sold by 10%, by how much it must lower its price? 1 Suppose legalization-and subseque nt regulation-of products Xand…