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lina2011 [118]
3 years ago
15

If a quota is set above the equilibrium quantity, there will be: missed opportunities in the form of mutually beneficial transac

tions that don't occur. no immediate effect. a supply price for the quantity transacted that exceeds the demand price of the quantity transacted. incentives for illegal activities.
Business
1 answer:
Anettt [7]3 years ago
5 0

Answer:

The correct answer is no immediate effect..

Explanation:

The impact of the minimum price on the functioning of the market will depend on whether said price is below or above the equilibrium price (the price at which the market would freely tend if there were no public intervention).

If the minimum price is below the equilibrium price it has no impact since the market will naturally be above said minimum price.

On the other hand, if the minimum price is higher than the equilibrium price, this ceiling will prevent the market from reaching its equilibrium point. The price will be at said minimum level where the quantity supplied will be greater than the quantity demanded, which will cause an excess supply that will remain unsold.

If the maximum price is above the equilibrium price it will not have any impact since the market will naturally tend to be below this maximum limit.

If, on the contrary, the maximum price is lower than the equilibrium price, then this limit will prevent the market from reaching equilibrium. The price will be at the maximum limit where the quantity supplied will be less than the quantity demanded. This will cause excess demand, so part of it will remain unmet.

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In one hour, the United States can produce 25 tons of steel or 250 automobiles. In one hour, Japan can produce 30 tons of steel
Whitepunk [10]

Answer:

For USA

Opportunity cost of 1 ton of steel = 250 / 25 = 10 automobiles

opportunity cost of 1 auto mobile = 25 / 250 = 0.1 ton of steel

For Japan

Opportunity cost of 1 ton of steel = 275 / 30 = 9.17 automobiles

opportunity cost of 1 auto mobile = 30 / 275 = 0.109 ton of steel

Japan will produce steel and US will produce automobile

option D is correct answer

Explanation:

3 0
3 years ago
Giving brainliest to the best answer :)<br><br>​
sveta [45]

Answer:

B. a brand new automobile dealership opens in town.

Explanation:

In Economics, there are primarily two (2) factors which affect the availability and the price at which goods and services are sold or provided, these are demand and supply.

The law of demand states that, the higher the demand for goods and services, the higher the price it would be sold all things being equal.

Thus, there exist a negative relationship between the quantity of goods demanded and the price of a good i.e when the prices of goods and services in the market increases or rises: there would be a significant decline or fall in the demand for this goods and services.

This ultimately implies that, an increase in the price level of a product usually results in a decrease in the quality of real output demanded along the aggregate demand curve.

An aggregate demand curve gives a negative relationship between the aggregate price level for goods or services and the quantity of aggregate output demanded in an economy at a specific period of time.

Most economists use the aggregate demand and aggregate supply model primarily to analyze short-run fluctuations in the economy.

This simply means that, whatever makes the factors of production such as, land, labor, entrepreneurship, capital, or efficiency to either go up or down would certainly result in fluctuations in the economy of a particular country. Similarly, a positive increase of the aggregate demand or supply curve results in a rightward shift while a decrease would cause a leftward shift.

In this scenario, the factors which would shift the demand curve for automobile are;

I. A fall in the price of gasoline.

II. An increase in the amount of money being paid to its workers.

However, the demand curve for automobile wouldn't shift to the right because a brand new automobile dealership opens in town. This is more likely to shift the aggregate supply curve to the right.

4 0
3 years ago
Which of the following is not true about the national income identity given by the equation: S +(T - G) = 1 + CA?
kati45 [8]

Answer:

None of the options are False.

Explanation:

CA means Current Account Balance

T means Taxes

G means Government Spending

S equals National Savings and

I equals Investment

Cheers!

4 0
3 years ago
ABC Company sold the rights to use one of their patented processes that will result in them receiving cash payments of $10,000 a
BigorU [14]

Answer:

$77,217

$11,289

Explanation:

Fist we will calculate the present value of $10,000 payment

A fix Payment for a specified period of time is called annuity. The discounting of these payment on a specified rate is known as present value of annuity. The value of the annuity is also determined by the present value of annuity payment.

Formula for Present value of annuity is as follow

PV of annuity = P x [ ( 1- ( 1+ r )^-n ) / r ]

Where

P = Annual payment = $10,000

r = rate of return = 10% / 2  = 5%

n = number of period = 5 years x 2 semiannual payments per year = 10 payments

PV of annuity = $10,000 x [ ( 1- ( 1+ 0.05 )^-10 ) / 0.05 ]

PV of Annuity = $77,217

Now we will use the discounting method to calculate the present value of lump sum payment of $20,000

Present value = Future value x Present value factor

PV = FV x ( 1 + r )^-n

PV = $20,000 x ( 1 + 0.1 )^-6

PV = $11,289

6 0
3 years ago
Lisah, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $5,000 from sales $201,0
mel-nik [20]

Solution:

Differential Analysis:      

                                      Continue      Eliminate      Net income

                                                                                   Inc/Dec  

                                                                                             

Sales                               201000             0                -201000  

variable cost                     176000             0                 176000  

Contribution margin          25000              0                -25000  

Fixed cost                        30000           20300               9700  

Net income / (loss)           -5000             -20300          -15300  

No, The Product line shall not be eliminated  

4 0
3 years ago
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