Ask Experts Questions for FREE Help !
Ask
    yayitsjessica's Avatar
    yayitsjessica Posts: 3, Reputation: 1
    New Member
     
    #1

    Feb 27, 2010, 12:00 PM
    Suppose that you are a staff economist with an economic consulting firm.
    Suppose that you are a staff economist with an economic consulting firm. The operator of a local harbor has commissioned your firm to do a market analysis of the demand for berths (or parking spaces) for boats. You've just completed your study of elasticities and are able to make some recommendations based on the following information. The price elasticity of demand for berths is -0.4 and the cross-price elasticity of demand for berths with respect to prices for boats is -1.2.

    5.2. An increase in the price for a berth will ______________ the harbor operator's total revenue.




    A. Have no effect on

    B. Decrease

    C. Increase
    yayitsjessica's Avatar
    yayitsjessica Posts: 3, Reputation: 1
    New Member
     
    #2

    Feb 27, 2010, 01:06 PM
    Consider the market for pizza in a large city. Identify what happens to the equili
    Consider the market for pizza in a large city. Identify what happens to the equilibrium price, quantity, and total consumer expenditures after each of the following events listed below, assuming that pizza is a normal good and the price elasticity of demand for pizza is -1.20. Treat each event as independent of the others.



    Event 1: The price of labor goes up.

    Event 2: The number of pizza restaurants increases.

    Event 3: Consumer income rises.

    4.1. For Event 1, the equilibrium price is expected to _______, the equilibrium quantity is expected to ______, and total consumer expenditures on pizza are expected to ________.




    A. Decrease; increase; increase

    B. Increase; decrease; decrease

    C. Increase; decrease; increase

    D. Decrease; decrease; decrease
    yayitsjessica's Avatar
    yayitsjessica Posts: 3, Reputation: 1
    New Member
     
    #3

    Feb 27, 2010, 01:49 PM
    Elasticity
    3. According to studies by economists Frank Chaloupka and Michael Grossman, the price elasticity of demand for cigarettes for teenagers is -1.3 and for adults is -0.4 ("Price, Tobacco Control Policies and Smoking Among Young Adults," JHE, Vol. 16, no. 3 (June 1997): 359-373) . Which of the following explanations can help explain the difference in the size of the elasticities?




    A. None of these explanations is satisfactory.

    B. Spending on cigarettes represents a larger portion of the budget of teenagers than of adults.

    C. The adult elasticity is likely to be a long-run estimate, whereas the teenage elasticity is likely to be a short-run estimate of the elasticity of demand.

    D. Teenagers are more likely than adults to be addicted to smoking; hence, teens have fewer alternatives to smoking.
    Curlyben's Avatar
    Curlyben Posts: 18,514, Reputation: 1860
    BossMan
     
    #4

    Feb 27, 2010, 02:00 PM
    Thank you for taking the time to copy your homework to AMHD.
    Please refer to this announcement: https://www.askmehelpdesk.com/financ...-b-u-font.html

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Tony Masasi started his own consulting firm, Masasi Company, Inc. on June 1, 2008. [ 1 Answers ]

Tony Masasi started his own consulting firm, Masasi Company, Inc. on June 1, 2008. The trial balance at June 30 is shown on page 129. Prepare adjusting entries, post to ledger accounts, and prepare adjusted trial balance. (SO 5, 6, 7) www. Wi ley.com/college/weygan dt MASASI COMPANY, INC....

Out-of-state office space used by local staff, with a sleeping room 4 staff travelers [ 1 Answers ]

Can I rent an out-of-state office space used by local staff, with a sleeping room for other staff travelers? I run a tutoring program out of state, that requires me and the other officers of the company to visit for training and managing. Instead of paying exorbitant hotel fees, if our company...

Partners in a consulting firm [ 2 Answers ]

My partner and I had a signed agreement that he would provide money/recruit and do the back office support work while I went out and got business for new clients in the IT Staffing and consulting field. This worked out great at first when we had 4-5 consultants billing and after 3 months we started...

Economist or accountant? [ 4 Answers ]

Can anyone give me some advice on to whether I should become an economist or and accountant. Im a freshman in college and I am still undeclared. I am looking for a job that will pay the most money and still be decently exciting to go to everyday. Can anyone give me some advice?


View more questions Search