Modern Principles: Microeconomics
3rd Edition
ISBN: 9781429278416
Author: Tyler Cowen, Alex Tabarrok
Publisher: Worth Publishers
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Chapter 5, Problem 8TPS
To determine
The elasticity of supply.
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Consider the table on the right, which shows the various
revenue concepts for a perfectly competitive firm.
Suppose the firm faces a constant market price of $4.
Compute first total revenue for each level of output and fill
in the TR column of the table. Next, compute marginal
revenue for each level of output and fill in the MR column
of the table.
(Marginal revenue at each level of output is computed
using total revenue for two successive levels of output.
For example, marginal revenue at 160 uses total revenue
for output levels 120 and 160.)
Total
Marginal
Price (p)Quantity (Q) Revenue (TR)Revenue (MR)
$4
A
EA
120
$4
160
$4
200
$4
240
$4
280
$
EA EA EA
10
S
ค
This week we will be discussing measures of economic well-being. Read the following short article from the Office of National Statistics from the U.K. which discusses different measures of economic well-being:
https://blog.ons.gov.uk/2017/07/06/beyond-gdp-measuring-the-economic-well-being-of-individuals/
For this assignment, we will narrow down to the economic well-being of the St. Louis region (or another region you choose). As the article indicates there are different measures of well-being. You are interested in creating a Hypothesis Test about the economic well-being of the area. Discuss the following issues:
First, think about your research hypothesis and justify it briefly. Remember, a hypothesis is a well-thought and untested proposition.
What is the null hypothesis?
What is the parameter you are interested in? (i.e., the measure of well-being).
Is it going to be a Lower-Tail, Upper-Tail or Two-Tailed test?
What is the data that you need and how will you collect the data?
What…
Johnny brought $39.50 to the art supply store. He bought a brush, a sketchbook, and a paint set. The brush was
1
6
as much as the sketchbook, and the sketchbook cost
3
4
the cost of the paint set. Johnny had $2.00 left over after buying these items.
Chapter 5 Solutions
Modern Principles: Microeconomics
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