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if tango night club were to charge R6 per shooter.2000 shooters would be demanded every month, if price increases to R10 per shooter ,1600 shooters will be demanded,using the arc elasiticity formula , the price of the elasticity is calulated as what?

show how price effect is decomposed into income and substitution effect?

The weight (gms) of 31 books picked from a consignment are as follows : 106, 107, 76, 82, 106, 107, 175, 93, 187, 95, 123, 125, 111, 92, 86, 70, 127, 68, 130, 129, 139, 119,115, 128, 100, 186, 84,99, 113, 204, 111 Test whether this sample may be treated as random.

Scenario One

In the early part of the last decade, there was an overproduction of coffee. The price dropped so low that producers' costs were higher than the market price. The reason this happened was that market prices became high before this, and the supply of coffee increased substantially. In the meantime, demand for coffee and everything else remained the same. Price Level 1.

Coffee prices came down again, at first overshooting the former equilibrium price, throwing the coffee market into confusion. In the meantime, gourmet coffee houses began appearing, which began charging a premium for coffee in the period of falling prices. Price Level 2.

Gourmet coffee houses tend to open in high-rent areas and cater to higher income consumers. Because of the change they created for taste and preferences and the higher income market, the gourmet coffee houses had a win-win in a period of falling wholesale prices and increasing retail prices. Price Level 3.

But in the middle of the decade, the party was over, and wholesale prices started increasing because of some shortages caused by weather and the rising overall market prices again. Where is the new equilibrium price? Price Level 4.

Explain the changes in the supply and demand curves based on the above information. Draw a graph showing how the changes affect the price levels, supply and demand.

Scenario Two

You have been asked to discuss the differences between the microeconomic definitions of supply and demand and the macroeconomic differences of aggregate supply and demand. Discuss what determines supply and demand and aggregate supply and aggregate demand. Explain what causes movements along the curve and shifts in the curve for supply and demand and aggregate supply and aggregate demand (make sure that you include price as a variable). Include whether this is an example of the microeconomic definition of supply and demand or the macroeconomic definition of aggregate supply and demand. Most importantly, did this cause a shift in the curves or a movement along the curves? What happened to equilibrium price, supply, demand, aggregate supply or aggregate demand? Describe your graphs.

1.After Hurricane Katrina, what happened to the price of fish?
2.After the development of the microchip, what happened to the price of computers?
3.After the government raised tariffs on imported cheese, what happened to the price of domestic cheese?
4.Polyester suits have become trendy again. What happens to their price?
5.Internet auction sites are becoming more popular, and people are using them more and more.
6.An new health report came out that said red wine lowers cholesterol.
7.The government raises taxes.
8.Inflation increases.
9.Immigration laws are relaxed.
10.The government increases spending.
Scenario Three

The PPF curve shows the economic choices a country can make about production given scarce resources, a given technology, and a given quantity of inputs. Assume you are a developing country, producing food and clothing at maximum capacity. What could happen when foreign investors start investing in your country?

Discuss what type of foreign investments would be best for the economy’s PPF. What are the opportunity costs of these decisions?

Include what will happen to private and public choices as the economy grows. Support your discussion of these issues and consequences using at least 2 graphs.

Sam farms a 400-acre farm. Two hundred acres of the land are particularly rich in a nutrient that is favorable to growing corn but has no benefits for wheat. Sam can grow 30 bushels of corn or 25 bushels of wheat on each of these special acres. The other 200 acres are not rich in the nutrient, so Sam can grow only 10 bushels of corn or the same 25 bushels of wheat per acre.

Suppose that Sam considers starting with all of his land in corn. Then he thinks about increasing the amount of wheat that he grows. What is the opportunity cost, in bushels of corn, of the first bushel of wheat that he grows?

The One Product economy, which produces and sells only personal computers (PCs), expects that it can sell 500 more, or 12,500 PCs, next year. Nominal GDP was \$20 million this year, and the money supply was \$7 million. The central bank for the One Product economy plans to increase the money supply by 10 percent next year. a. What was the average selling price for the personal computers this year? b. What is the expected average selling price next year for personal computers if the velocity of money remains at this year’s turnover rate? What percentage change in price level is expected to occur? c. If the objective is to keep the price level the same next year (i.e., no inflation), what percentage increase in the money supply should the central bank plan for? d. How would your answer in (c) change if the velocity of money is expected to be three times next year? What is it now?

Analyze the approaches to capital structure decisions and determine which theory is the most applicable across the widest number of scenarios. Explain your rationale

What 5 most important events contributed to increased interaction between the world's people? And why?

Considering the case of a decline in the level of private investment spending(where price level is not constant). What are the adjustment from the short run to medium run equilibrium and how output, interest rate, private consumption, private investment, nominal wage and price level, also real wage and real money supply are affected in the mediul rum if the shock doesn't prompt any change

Describe the process by which the market for capital and the market for
land reach equilibrium. As part of your description, elaborate on the role
of the stock of the resource versus the flow of services from the resour

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