Answer: b) Supply is inelastic and demand is inelastic.
Explanation: Dead-weight loss is the loss in total surplus when a tax is imposed on a good which restricts demand and supply from balancing. When both the demand and the supply curves are inelastic, the effect of a tax will be lead to a small change in the quantity being traded in the market. Thus, the equilibrium quantity at the taxed price will not fall much and the dead weight loss will therefore, be smaller.
Answer:
The answer is A) Macroeconomic policy will be needed to address rising inflation.
Explanation:
Macroeconomics policy addresses key issues in the economy such as the structure, performance, behavior, and decision-making of the whole, or aggregate, economy.
The two main areas of macroeconomic research are long-term economic growth and shorter-term business cycles.
In the short term, it focuses on the way the economy performs as a whole and then analyzes how different sectors of the economy relate to one another to understand how the aggregate functions. This includes looking at variables like unemployment Inflation and how it reflect on the Gross Domestic product.
Answer:
$35,400
Explanation:
The computation of the increase in sales is shown below:
The Total sales value is
= Number of units sold × selling price per unit
= 2,950 units × $40 per unit
= $118,000
Now if the contribution margin increases by 30, so ultimately the sales is also increased by 30%
Therefore, the increase in sales is
= $118,000 × 30%
= $35,400
The current <u>demand falls</u> if the prices are likely to increase in the future whereas the current <u>demand rises</u> if prices are likely to decrease in the future.
<h3>What is demand?</h3>
Demand is one of the market factors that tells about the goods being purchased by the customers.
When the rates of goods are expected to be rise in the future, then the demand for those goods would downfalls. In contrast, the reverse case will make the demand enhancing. The rise or fall in demand also directly affects the supply by the producers.
Therefore, there is an inverse relationship between futuristic prices and the current demand for products.
Learn more about the demand in the related link:
brainly.com/question/10489478
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Answer:
12
Explanation:
The computation of the project completion time under the best-case scenario is shown below;
= Activity A1 weeks taken + activity A2 weeks taken
= 5 weeks + 7 weeks
= 12
We simply added the time taken by activity 1 and activity 2 so that the project completion time could come