Question 2: (a) Suppose the income elasticity of demand for pre-recorded music compact disks is +5.0 and the income elasticity of demand for a cabinet maker’s work is +0.5. Compare the impact on pre-recorded music compact disks and the cabinet maker’s work of a recession that reduces consumer incomes by 10 per cent. (2 marks) (b) How might you determine whether the pre-recorded music compact discs and MP3 music players are in competition with each other? (2 marks) (c) Interpret the following
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In a capitalist system such as the one in the US‚ everything is controlled by supply and demand. When there is a scarcity of a specific object/service‚ the demand for it is higher. A savvy businessperson will recognize the demand and will offer the product/service. Major chain stores are included in this system; they recognize a demand and try to fill it. As a simplistic example: town A has no pizza store. Mr. B realizes that people would like to be able to eat in a local pizzeria‚ so he opens
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NZ farmers hit by worst drought in 30 years Introduction Major dairy exporter New Zealand has joined a growing list of agricultural countries being sucked dry by a drought - its worst in 30 years - with the government warning of higher global milk prices. Market for milk when drought occurs in New Zealand 1. There are higher global milk prices. Due to drought in New Zealand crops that are produce for cow is sucked dry. Higher prices of crops will result in higher cost of maintaining
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1. From the definition of GDP we arrive at the following expression: c + i + g + x-m = y = c + s + t Discuss the three important economic relationships that can be derived from this expression related to the definition of GDP and explain each carefully. The expression above depicts two different ways to come up with real GDP for a country. The left side of the expression explains expenditure side of computing real GDP which can be rewritten as: y = c + i + g +x – m In real terms‚ it could
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1. The securities‚ intermediaries‚ and markets that exist to match savers and borrowers comprise the financial ________. a. system b. market c. economy d. security • 2. A contract in which a borrower promises to compensate the lender in the future is called a financial ________. a. stock b. debt c. investment d. security • 3. A contract that makes the owner of a security a part owner of the company that issued the security is known
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Xiaokun Chen Lora Harpster PSY 1010 01.29.2014 As the psychology is a subject of science‚ experiment is important part of this subject. Before designing an experiment‚ we have to design an experiment and we need to confirm the dependent variable and independent variable. For each of the following scenarios‚ identify the independent and the dependent variables and explain your choices. 1. Joan is collecting data on gender differences (male‚ female) in the ability to empathize. In this case
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Topic 10: The Transition Period I. The Free Trade Era in Europe. During the mercantilist era‚ trade was seen as a zero-sum game: one country’s gain was another country’s loss. If Spain imported more from England that she exported to England‚ she had to send specie to England to make up the difference. In the mercantilist view‚ this was viewed as a loss for Spain and a gain for England. So‚ countries established policies to encourage favorable trade balances: they subsidized export industries
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article‚ “Urban Sprawl” by Thomas J. Nechyba and Randall P. Walsh‚ the authors talk about the advantages and disadvantages of urban sprawls. They also explain the consequences of inner-city and suburbs after the urban sprawls have occurred. The problems of urban sprawls are the un-productive congestion of roads‚ high levels of metropolitan car pollution‚ lots of open space amenities‚ and un-equal provision of public goods and services. Along with the disadvantages‚ there are also a few advantages
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1. What are confounding variables? 2. What are experimental controls? 3. What is the difference between a scientific fact‚ law‚ and theory? 4. What are the ’norms’ of science? 5. What are the differences between the four common types of organic molecules? 6. Why do cells make ATP? 7. How can you distinguish between prokaryotic and eukaryotic cells‚ and between haploid and diploid cells? What types of cells fall into these categories? 8. What is the function of cellular respiration? Where
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