1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Temka [501]
3 years ago
5

Suppose the price elasticity of supply for soccer balls is 0.3 in the short run and 1.2 in the long run. If an increase in the d

emand for soccer balls causes the price of soccer balls to increase by 20%, then the quantity supplied of soccer balls will increase by about:________.
Business
1 answer:
blagie [28]3 years ago
4 0

Answer:

  • 6% in the short run
  • 24% in the long run

Explanation:

In the short run, the effect of a 20% increase in the price of soccer balls will result in a ⇒ 0.3 x 20% = 6% increase in the quantity supplied.

In the long run, the effect of a 20% increase in the price of soccer balls will result in a ⇒ 1.2 x 20% = 24% increase in the quantity supplied.

You might be interested in
Suppose the consumption function is c = $200 + 0.85yd. if disposable income is $400, consumption is
alexira [117]
Given the consumption equation of c= 200 + 0.85yd, and the disposable income of $400, then, then we would get the consumption by substituting the given to the equation:c= 200 + 0.85ydc= 200 + 0.85(400)c= 200 + 340c= 540Therefore, the consumption is $540.
8 0
3 years ago
Read 2 more answers
Suppose that during the past year, the price of a laptop computer rose from $2,750 to $2,880. During the same time period, consu
icang [17]

Answer: Elasticity of demand is 7.06

Explanation:

P1= $2,750

P2=$2,880

Q1=446,000

Q2=321,000

Elasticity = \frac{Q2 - Q1}{\frac{Q1 + Q2}{2} } * \frac{\frac{P1 + P2}{2} }{P2 - P1}

Elasticity = \frac{321,000 - 446,000}{\frac{446,000 + 321,000}{2} } * \frac{\frac{2750 + 2880}{2} }{2880 - 2750}

Elasticity = \frac{-125,000}{383,500} * \frac{2815}{130}

Elasticity = - 0.3259*21.6598

Elasticity = -0.76

Thus, elasticity of demand for laptops is 7.06. This means that laptops are highly price elastic as it is greater than 1.



8 0
3 years ago
Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equa
shepuryov [24]

Answer:

Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equally shared.

a. True

Explanation:

The incidence of the FICA tax refers to the extent to which an individual employee or the employing organization suffers from the imposition of the FICA tax.  In the final analysis, the incidence may not be borne by the organization but consumers of its goods and services, depending on the elasticity of demand.  Employers and employees usually split the FICA tax equally.  The FICA (Federal Insurance Contribution Act) refers to the federally mandated tax for Social Security and Medicare.

4 0
3 years ago
According to the rule of 72, if you have $15,000 in an account that grows at the rate of 12 percent annually, it will take appro
yulyashka [42]

Answer:

true

Explanation:

7 0
3 years ago
When women and minorities hit an invisible barrier within an organization that, because of discrimination, prevents individuals
gregori [183]
<span>This invisible barrier is called the glass ceiling. There are multiple factors that enable such a thing, including (but not limited to) prejudices against women in the work place, lack of recruitment of women to certain types of jobs that are historically performed by men (i.e. science, engineering, etc), and lack of mentoring on the job.</span>
5 0
3 years ago
Read 2 more answers
Other questions:
  • Marisa was a CPA who formed a partnership with another CPA, Dave. They formed a limited liability partnership (LLP). If Marisa n
    10·2 answers
  • Discuss the advantages and disadvantages of owning versus renting a home.
    12·1 answer
  • Help please.........
    5·2 answers
  • What action is most likely to result in an increase in the money supply
    13·1 answer
  • What does it mean for a savings account to have a minimum balance? a. If you do not keep at least that much money in the account
    6·2 answers
  • Remote Company has developed a new universal remote that works with all cable, over the air and streaming channels. While the de
    11·1 answer
  • On January 1, 20X2, X Company made modifications to an asset used in its manufacturing operations in order to extend its useful
    10·1 answer
  • Buzz Appliances manufactures two​ products: Food Processors and Espresso Machines. The following data are​ available:
    11·1 answer
  • aner, Harris &amp; Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm ha
    13·1 answer
  • Bryce Corporation has pretax accounting income of $100,000. Bryce has interest on municipal bonds of $7,000. Depreciation for ta
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!