causes for the shift in the demand curve for the firm.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Problem 1 Regression Discontinuity In the beginning of covid, the US government distributed covid stimulus payments. Suppose you are interested in the effect of receiving the full amount of the first stimulus payment on the total spending in dollars by single individuals in the month after receiving the payment. Single individuals with annual income below $75,00 received the full amount of the stimulus payment. You decide to use Regression Discontinuity to answer this question. The graph below shows the RD model. 3150 3100 3050 Total Spending in the month after receiving the stimulus payment 2950 3000 74000 74500 75000 75500 76000 Annual income a. What is the outcome? (5 points) b. What is the treatment? (5 points) C. What is the running variable? (5 points) d. What is the cutoff? (5 points) e. Who is in the treatment group and who is in the control group? (10 points) f. What is the discontinuity in the graph and how do you interpret it? (10 points) g. Explain a scenario which can…

Problem 2 Difference-in-Difference In the beginning of 2005, Minnesota increased the sales tax on alcohol. Suppose you are interested in studying the effect of the increase in sale taxes on alcohol on the number of car accidents due to drinking in Minnesota. Unlike Minnesota, Wisconsin did not change the sales tax on alcohol. You decide to use a Difference-in-difference (DID) Model. The numbers of car accidents in each state at the end of 2004 and 2005 are as follows: Year Number of car accidents in Minnesota Number of car accidents in Wisconsin 2004 2000 2500 2005 2500 3500 a. Which state is the treatment state and which state is the control state? (10 points) b. What is the change in the outcome for the treatment group between 2004 and 2005? (5 points) C. Can we interpret the change in the outcome for the treatment group between 2004 and 2005 as the causal effect of the policy on car accidents? Explain your answer. (10 points) d. What is the change in the outcome for the control…

Environmental Economics

Answer 2

Question

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.

Answer 6

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Answer 7

Chapter 18, Problem 1FT

Subpart (a):

To determine

causes for the shift in the demand curve for the firm.

Answer 8

Subpart (a):

Expert Solution

Explanation of Solution

The demand comes from all the economic agents such as the households, firms as well as the government. The demand is depended on the price level of the economy. The increase and decrease in the price level determines the level of demand in the economy. The aggregation of all the individual demands in the economy is known as the aggregate demand thus, the aggregate demand explains the relationship between the general price level and the level of real GDP demanded in the economy by the economic agents such as the households, firms and the government.

Here, in the case of the McDonald's, the main reason for the increase in the quantity demanded which shifts the demand curve of the firm towards the right is the opening up of the new school. This means that the population in the locality increases and this increase in the population causes the increase in the quantity demanded of the firm. Thus, the demand shifter in the case of McDonald's is the rise in population.

Answer 9

Subpart (a):

Expert Solution

Answer 10

Subpart (a):

Expert Solution

Answer 11

Expert Solution

Answer 12

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Answer 13

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Answer 14

Subpart (b):

To determine

causes for the shift in the demand curve for the firm.

Answer 15

Subpart (b):

Expert Solution

Explanation of Solution

When the customers are more concerned about the cleanliness in the restaurants, all the restaurants have to keep employees for the purpose of cleaning the restaurant premises as well as the floor of the restaurant and keep it dirt free. This means that the demand for the labor for these purposes increases and this increase in demand and shift in demand is caused because of the changes in the tastes and preferences of the consumers.

Answer 16

Subpart (b):

Expert Solution

Answer 17

Subpart (b):

Expert Solution

Answer 18

Expert Solution

Answer 19

Economics Concept Introduction

Concept introduction:

Aggregate Demand curve: It is the curve which shows the relationship between the price level in the economy and the quantity of real GDP demanded by the economic agents such as the households, firms as well as the government.

Answer 20

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.

Answer 21

Subpart (c):

To determine

causes for the shift in the demand curve for the firm.

Answer 22

Subpart (c):

Expert Solution

Explanation of Solution

The robots do the work of cleaning and thus, it can replace a labor for the purpose of the cleaning. This means that the robots are the substitutes for the labor for the cleaning purpose. So, when the robots become cheaper, it would increase the demand for robots and cause fall in the demand for the cleaning labors. Here, the demand shifter is the substitutes of labor which is robots.