Macroeconomics 1102 Discussion Question 5 Part (a) Consumption function: is the relation of consumption with its determinants. Graphically drawn as:. Mathematically it is written as: C = C + c(Y – T) C: Consumption Spending C: Exogenous Consumption c : Marginal Propensity to Consume (0 < c < 1) Y: Aggregate Income T: Taxes Explaining the main components: Exogenous consumption: factors other than disposable income that affect consumption. So when consumers feel optimistic
Premium Macroeconomics Consumption Marginal propensity to consume
a) The price of natural gas‚ a resource used by manufacturers throughout the United States‚ doubles. Price increases because‚ the companies that sell the spiral notebooks need to mark up their price in order to keep afloat with the rising cost of natural gas. Demand is not affected. The determinant for demand on the TRIBE chart in this scenario would be related goods and services‚ since the price for a good that is used to produce spiral notebooks is increasing‚ thus leading to an increase in the
Premium Supply and demand Consumer theory
Macroeconomics Exam 1 Instructor: Prof. Phelps Name: Results: Class: Period: Date: Read each question carefully then circle the correct answer. When you are finished transfer the answers to the Scantron sheet. Make sure that you enter your name on both the exam and the scantron sheet. You have 1 hour to complete the exam. 1. For economists‚ the word "utility" means: a) versatility and flexibility. b) rationality. c) pleasure or satisfaction.** d) purposefulness
Premium Supply and demand Consumer theory Economics
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
Premium Investment Macroeconomics
CRITICAL LOOK AT PROCTER AND GAMBLE AND THE VARIOUS ENVIRONMENTS THE COMPANY OPERATES WITHIN MBA 500 Business Environment‚ Ethical Analysis and Law‚ Section 501 Prof. Edward Thomas BY: VICTOR ADU-GYAMFI‚ PRANAV BABU‚ AIRIAN PRUITT‚ KAREN ROMOSER‚ SHUBHRA SHARMA‚ RITHANYA SOMASUNDARAM‚ GAURI WAGLE Procter and Gamble 2 Abstract This paper provides an Environmental Analysis of the multinational company Procter and Gamble. The paper attempts to highlight the enormous resources that are available to
Premium Procter & Gamble
Environmental and Consumer Influences Analysis PSY/322 September 2‚ 2013 Mary-Lynne Ament Environmental and Consumer Influences Analysis Consumer purchasing decisions are based on many factors. There are psychological and social factors that play huge roles in a consumer picking certain products or services to purchase for their personal use. There are also many external factors that play a role such as political‚ legal‚ ecological‚ cultural‚ technological‚ and business ethics. Most of these
Premium Combined oral contraceptive pill Birth control Pregnancy
What Is A Lesson Plan? There is some confusion about what a lesson plan* is and is not. A worksheet is not a lesson plan. A handout is not a lesson plan. A classroom game or activity is not a lesson plan. In fact‚ there is no need for a lesson plan to ever be seen‚ touched‚ considered or dreamed of by students‚ and nor does it even need to exist on paper or disk‚ though it usually does. A lesson plan is a teacher’s plan for teaching a lesson. It can exist in the teacher’s mind‚ on the back of an
Premium Education Lesson plan Teaching
1. The state of California recently considered passing a tax on the services of doctors in that state in order to raise revenue to pay for universal health coverage for California residents. Suppose the average open heart surgery costs $100‚000‚ and at that price 23‚339 surgeries are performed each year. Fully explain what the most likely outcome would be in this market if a tax on surgeries is implemented. Use a graph if it will help. 2. Price Changes and Responses by Consumers | Price
Premium Supply and demand Monopoly
Stage 4 - Investigation 5.5.1 Definition of investigation and assessment Investigation and assessment is a process of gathering and analysing information and evidence to determine whether: • abuse has taken place • there is ongoing risk of harm to the adult at risk. 5.5.2 Purpose of investigation and assessment The purpose of investigation and assessment is to establish the facts and contributing factors which led to the referral. Central to this is establishing the views and wishes
Premium Risk management Management Risk
Macro environments relates to the larger forces that have an impact on society as a whole and not just on one or a few organizations. A single organization cannot usually have a significant impact on these forces and therefore can only adapt its marketing mix to account for the opportunities and threats that arise. One of the evidence about this is the article ’Optus hit with $5 million fine’ which was published in The Age of the July 8‚ 2011‚ it identify and explain the impacts and affects this
Free Mass media Advertising