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pashok25 [27]
3 years ago
10

What factors will determine the sizes of the​ shortages? The extent of the excess demand implied by the shortages will depend on

A. the amount by which quantity supplied exceeds quantity​ demanded, where the shortages will be larger the greater this difference. B. the elasticity of​ supply, where the shortages will be larger if more close substitutes are available. C. the elasticity of​ demand, where the shortages will be larger if demand is more inelastic. D. the amount by which price is set above​ market-clearing levels, where the shortages will be larger the greater this difference. E. the elasticities of supply and​ demand, where the shortages will be larger if both supply and demand are more elastic.
Business
1 answer:
Juliette [100K]3 years ago
6 0

Answer:

The answer is: C) the elasticity of​ demand, where the shortages will be larger if demand is more inelastic.

Explanation:

When the demand for a product is completely inelastic it means that the quantity demanded for that product will be the same whether its price increases or decreases. Rarely any product is completely inelastic, but inelasticity shows a tendency of buyers to keep buying a product even if its price rises, for example gasoline.

Inelastic products don´t follow the law of supply and demand, since the price doesn´t alter the demand.

If suppliers can produce enough goods (product shortages) and the quantity demanded stays the same, the price will rise. But if the demand for the product is inelastic then the shortage will get worse since every time more people will want to buy the product and their will be less product to buy.

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Suppose the government implements a negative income tax plan to deal with the poverty problem. The negative income tax rate is s
Andreas93 [3]

Answer:

At least $2,500. If the family's income was $0, then the government will transfer $2,500 to them.

Explanation:

A negative income tax refers to a welfare system where individuals earning below a certain amount, instead of being taxed, receive money transfers from the government.

4 0
3 years ago
What is the difference between sole proprietor and partnership?
sveticcg [70]

Answer:

A sole proprietorship is a person who owns the business and is personally responsible for its debts. It is not a legal entity.

A partnership partnership shares the responsibilities, resources, and losses

Explanation:

3 0
3 years ago
An investor is in a 30% combined federal plus state tax bracket. If corporate bonds offer 9% yields, what yield must municipals
Mkey [24]

Answer:

after tax yield on corporate bonds  = 6.3 %

Explanation:

given data

federal plus state tax bracket = 30%

corporate bonds  yields = 9%

solution

we get here yield that must municipals offer for the investor is express as

after tax yield on corporate bonds = corporate bonds  yields × ( 1 - federal plus state tax bracket  )   ......................1

put here value and we will get

after tax yield on corporate bonds = 9% × ( 1 - 30% )

after tax yield on corporate bonds = 0.09 × ( 1 - 0.30 )

after tax yield on corporate bonds  = 0.063

after tax yield on corporate bonds  = 6.3 %

7 0
3 years ago
Based on your understanding of personality and perception related issues in consumer behavior, answer this multi-part question:
Marta_Voda [28]

Explanation:

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2. Personality characteristics such as age, social class, and the rank that society performs, gender, greatly influences the interest shown by the product offered.

3. The knowledge that the consumer has of the product, the brand, the availability of immediate access to obtain the product, the cost of the product and the availability of acquiring a good personalized advice of the product, as well as the attention given to the client makes it possible to form a positive or negative perception of the product.

7 0
4 years ago
Issuing a pre-approval letter means that borrowers have completed the loan application and provided their debt, total income, an
stiks02 [169]

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When this is done, a pre-approval letter is issued which shows the amount that the lender is willing to lend to the borrower.

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3 years ago
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