Answer:
Elastic demand
A heart valve
Explanation:
A good with many close substitutes will have a highly elastic demand. This is because an increase in the price of the good will causes the consumers to purchase one of its cheaper substitutes.
If both a diamond necklace and a heart valve for heart attack victims are priced the same, the price elasticity for the heart valve will be lower. This is because the diamond necklace is a luxury good but the heart valve is necessary for the survival of the victim.
Answer: D. A and B only
Explanation:
In a fix exchange rate, the country can address problem of currency market pressure that threaten yo lower or raise the value of its currency by this under listed measures;
1. if demand falls, then countries must increase demand by buying up the excess supply with domestic currency
2. if demand rises, countries must fill the excess demand for foreign currency by selling their reserves.
The purpose of the Federal Reserve cutting interest rates during a recession is to encourage borrowing (borrowing becomes cheaper) and in this way especially for companies they may spend more money then on improvements, new products etc so the economy theoretically will be stimulated to counteract the recession.
Answer:
The Answer is Capital.
Explanation:
In Economics, we identify that there are 4 main factors that contribute to the production, we call them "factors of production" and they are,
- Land: Not just "land" but also includes all the natural resources that could be extracted and used for any production purposes.
- Labor: Mental and physical efforts carried out by humans in the production process.
- Capital: Assets or anything that can enhance/boost the ability to produce. Usually, these are generated or created as a result of human interventions and efforts.
- Entrepreneurship: the set of skills required to coordinate and manage the process of production successfully.
So, under which category of factors that the computers fall under? Simple right? Its 3.Capital! because they are assets that are created by humans to aid in enhancing the production capabilities!
Answer:
(i)New firms will enter the market.
(iii)In the long run, all firms will be producing at their efficient scale
Explanation:
A perfect competition is characterised by many buyers and sellers of homogenous goods and services. Market price is set by the forces of demand and supply.
If firms are earning positive profits, in the long run new firms would enter into the industry and this woold drive positive profits to zero. As a result , firms would be operating at the efficient scale.
I hope my answer helps you
