b. Because the U.S. postal service is a monopoly and Congress sets postal prices through legislation‚ market forces do not determine stamp prices. c. New York City government auctions taxi medallions that give the right to transport passengers by taxi. Because the government controls the number of medallions‚ market forces do not determine their price. 3. Indicate whether each of the following statements describes an increase in
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Notes Factors affecting demand: * Price of Substitutes- An increase in the price of a good’s substitute will increase demand for the good. * Price of Complements- An increase in the price of a good’s complement will decrease demand for the good. * Consumers’ Income- A rise in income increases the demand for normal goods and decreases the demand for inferior goods. * Consumers’ Expectations- If consumers expect a product’s quality to increase in the near future‚ they will have a lower
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Consumer Price index- has absolutely no impact on prices‚ it will not change prices! Possible reasons for it to be inaccurate: 1) New products and technology- tendency to lag the advantage of a new technology. By the time they start incorporation the price it is already cheaper‚ but they use the higher price. This can cause a problem. 2) Quality of products changes- You may be getting more for your money. This can be a negative thing to because you could end up paying for things
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Housing price in China and government’s policies to control it Name:Rui Ying(Renee) Thesis Statement: This essay argued that the housing price which has rises rapidly‚ because .Demand is outstripping supply . Chinese housing market is growing rapidly .“real estate”. This essay explains that government needs to be controlled by a good policy that Chinese government issued a 20% capital gains tax on sales of second homes to discourage real estate investment. Definition: Housing
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International Research Journal of Finance and Economics ISSN 1450-2887 Issue 30 (2009) © EuroJournals Publishing‚ Inc. 2009 http://www.eurojournals.com/finance.htm Determinants of Equity Prices in the Stock Markets Somoye‚ Russell Olukayode Christopher Dept. of Banking & Finance‚ Faculty of Management Science Olabisi Onabanjo University‚ Ago Iwoye‚ Nigeria P.O. Box 1104 Ijebu-Ode‚ Ijebu-Ode‚ Ogun State‚ Nigeria E-mail: kayodesomoye@yahoo.com Akintoye‚ Ishola Rufus Dept. of Accounting‚ Faculty
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Petrochemicals prices climb 2% in December on tight supplies LONDON‚ January 9‚ 2013 - Prices in the $3-trillion-plus global petrochemicals market climbed 2% to $1‚350 per metric ton (/mt) in December‚ according to the just-released monthly average of the Platts Global Petrochemical Index (PGPI)‚ a benchmark basket of seven widely used petrochemicals. This follows a drop of 2% in November. But on a year-over-year basis‚ petrochemical prices were up 16% from the December 2011 average price of $1‚161/mt
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Running head: TAXATION AND PRIVE CONTROL ON THE ECONOMY Taxation and Price Control on the Economy March 22‚ 2009 Taxation‚ a system of raising money to back our government‚ in which all governments require payments of money-taxes-from people. The government use tax money to pay for expenses that are well needed such as: the service of America soldiers‚ police officers service‚ hospitals and the list go on. Without taxes to fund its endeavors‚ the government could not exist. Is the tax levied
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THE IMPORTANCE OF PRICES IN ECONOMIC SYSTEM A price is the amount of money a buyer must pay to a seller for a good or service. Price is not always the same as cost. In economics‚ cost means opportunity cost—all that is sacrificed to buy the good. While the price of a good is a part of its opportunity cost‚ it is not the only cost. For example‚ the price does not include the value of the time sacrificed to buy something. Buying a new jacket will require you to spend time traveling to and from the
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ON INDEX AND STOCK PRICE MOVEMENT OF VARIOUS INDUSTRIES IN EQUITY MARKET AT SHAREKHAN CHAPTER – 1 INTRODUCTION CHAPTER: 1 1.1 INTRODUCTION 1.1.1 INDEX AND STOCK PRICE MOVING AVERAGE Individual stock price is compared with the
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In the past‚ the price of oil has led to economic recessions‚ such as the 1973 and 1979 energy crises. The effect the price of oil has on an economy is known as a price shock. In many European countries‚ which have high taxes on fuels‚ such price shocks could potentially be mitigated somewhat by temporarily or permanently suspending the taxes as fuel costs rise.[138] This method of softening price shocks is less useful in countries with much lower gas taxes‚ such as the United States. Some economists
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