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FromTheMoon [43]
3 years ago
13

What effect would a rule stating that university students must live in university dormitories have on the price elasticity of de

mand for dormitory space? What impact might this in turn have on room rates?
Business
1 answer:
sukhopar [10]3 years ago
7 0

Answer:

(1) The price Elasticity of demand for Dormintory space will less than one.

(2) The room rates will increase following the increase in demand.

Explanation: The price Elasticity of demand is a term used in Economics to describe the change in Quantity demanded at the slightest change in price of the product or services rendered. FOR A NECESSARY AND ESSENTIAL GOODS AND SERVICES WITH NO CLOSE SUBSTITUTES LIKE THE DORMITORY SPACES THE PRICE ELASTICITY OF DEMAND WILL BE LESS THAN ONE.

THIS MEANS THAT A CHANGE IN PRICE WILL HAVE LITTLE OR NO EFFECT ON THE DEMAND.

One of the conditions necessary for a change in price is a change in demand, as the demand for a product or service increases, it will lead to a corresponding increase in the price of the product or service especially when the supply for the product or sevice is constant.

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About ____ percent of worldwide stocks of tuna, cod, and other large ocean fishes have disappeared in the last 50 years.
ehidna [41]

About ninety percent of worldwide stocks of tuna, cod, and other large ocean fishes have disappeared in the last 50 years.

Despite being present in every ocean in the world, tuna and other fishes have started disappearing. The North Atlantic, South Atlantic, as well as the Mediterranean Sea, have the worst conditions for the majority of fish species.

Bluefin, albacore, and yellowfin tuna stocks have drastically decreased as a result of years of overfishing for American and European markets. Although the Atlantic fisheries is heavily regulated, illegal fishing off the shore of coastal seas persists, particularly close to Africa, where impoverished nations cannot afford the patrols required to execute the law.

However, tuna populations cod and other large fish oceans  are declining even in the world's largest oceans, and some face extinction due to the continuous pressure of intensive commercial fishing.

To learn more about overfishing click here :

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8 0
1 year ago
Your grandfather put some money in an account for you on the day you were born. You are now years old and are allowed to withdra
sergij07 [2.7K]

Answer:

Missing word <em>"You are now 18 years old and are allowed to withdraw the money for the first time. The account currently has $3996 in it and pays an 8% interest rate."</em>

a.  At 18 years, future value of current amount (compounded for another 7 years at 8%)

= $3,996 * (1.08)^7

= $3,996 * 1.7138

= $6,848.34

b. At age 65, future value of this amount (compounded for another 40 years at 8%)

= $6,848.44 * (1.08)^40

= $6,848.44 * 21.7245

= $148,779.93

c. Future Value = Present Value * (1 + Interest Rate)^n

So, let initial the money deposited be represented by Y

=> $3,996 = Y * (1.08)^18

=> $3,996 = Y * 3.996

Y = $3,996 / 3.996

Y = $1,000

8 0
2 years ago
10 percent decrease in consumer incomes leads to a 20 percent decrease in the quantity demanded of good D. Instructions: Round y
Katyanochek1 [597]

Answer:

Income elasticity = 2

Normal good

Explanation:

Below is the given values:

Percentage decrease in consumers income = 10%

Percentage decrease in quantity demanded = 20%

Use the below formula to find the income elasticity:

Income elasticity = % change in quantity demanded / % in income

Income elasticity = -20/-10

Income elasticity = 2

Since the elasticity is 2 that means good is normal good.

4 0
2 years ago
The Impulse Shopper recently paid an annual dividend of $1.13 per share. The company just announced that it is suspending all di
vivado [14]

Answer:

Stock value today = $1.21

Explanation:

Current Dividend = D{_0} = $1.13

After 5 years that is D{_6} = $0.50

Since expected growth = 0

Therefore

P{_5} = D{_6} / Ke = 0.5/18% = $2.77

Its present value will be \frac{1}{(1 + 0.18){^5}} X 2.77 = $1.21

Stock value today = $1.21

5 0
3 years ago
Employees in the defense industry have greater job security and higher pay when the country is engaged in major military conflic
kiruha [24]

Answer: C the fallacy of composition.

Explanation:

The Fallacy of Composition is meant to explain the false logic that people apply when they believe that because something is true of a subsection of something, then that thing must be true for the whole thing.

For instance, my phone's batter is made of lithium so my entire phone must be made of lithium.

In this scenario, the logic is that it is good to be involved in military conflict because it favors the nation if it favors a subset (employees in defense) which is flawed because other industries might suffer. This however, represents the fallacy of composition.

7 0
2 years ago
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