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Answer in Macroeconomics for Zalikha #198035

c) In a new diagram, show the situation of property overhang as mentioned in paragraph 3 in the article. Also show how efforts by developers to limit units offered may avoid future overhang. “Solution” Property overhang, shows the units build…

Answer in Macroeconomics for Hafsa #197979

Suppose the following demand and supply function: Qd = 750 – 25P Qs = -300 + 20 P       i.         Find the equilibrium price and quantity     ii.         Find consumer and producer surplus (i)“Qd=Qs” “750-25p=-300+20p” “750+300=20p+25p” “1050=45p” “p=23.33” “Q=750-25(23.33)” “=750-583.25” “Q=166.75” (ii) consumer/producer surplus“=\frac{1}{2}\times…

Answer in Macroeconomics for hafsa #198074

4). Demand of a product is usually very sensitive to economic variables, such as the prices and consumer income. This responsiveness of demand is Compute elasticity in the below scenarios: a). Yesterday, the price of envelopes was $3 a box,…

Answer in Macroeconomics for Zalikha #198039

e) Suppose that the price of commercial property, a substitute in supply of residential property, rises. What is the possible impact on the market price and quantity of residential property? Explain and illustrate using a diagram. As the price of…

Answer in Macroeconomics for KC Tajan #198975

cement sales were recorded at 1.5 million bags when the price was P500 per bag. When the price decreased to P450 per bag, sales increased to 2 million bags. Cement production on the other hand increased from 1.75 million to 3 million bags when the price increased…