...Chapter 3: Demand, Supply, and Equilibrium Prices Chapter 4: Demand and Supply Applications The following graph represents the market for wheat. The equilibrium price is $20 per bushel and the equilibrium quantity is 14 million bushels. o Explain what will happen if the government establishes a price ceiling of $10 per bushel of wheat in this market? What if the price ceiling was set at $30? For a price ceiling to be effective it has to be set below the equilibrium price of the market. At $10 per bushel of wheat there will be more demand at the price ceiling at 20m bushel but the suppliers will only be willing to supply 4m bushels causing a shortage in supply. At $30 there will be a demand of 8million bushels while the suppliers would be willing to provide 24 million. This will lead to an oversupply of bushels. o Explain what will happen if the government establishes a price floor of $30 per bushel of wheat in this market.What if the price floor was set at $10? At $30 the demand may increase depending on the necessity of the product. If not there will be an oversupply of wheat bushels as the demand at 30 will only be at 8m bushels. At $10 usd there will be no impact on the market because price floors are effective above the point of equilibrium. With a $10 price floor the suppliers may continue to charge at $20 and the demand will maintain at 14m bushels. Chapter 5: Elasticity Describe what will happen to total revenue in the following situations: ...
Words: 785 - Pages: 4
...Price Elasticity of Demand | | In this chapter we look at the idea of elasticity of demand, in other words, how sensitive is the demand for a product to a change in the product’s own price. You will find that elasticity of demand is perhaps one of the most important concepts to understand in your AS economics courseDefining elasticity of demandPed measures the responsiveness of demand for a product following a change in its own price. The formula for calculating the co-efficient of elasticity of demand is:“Percentage change in quantity demanded divided by the percentage change in price”Since changes in price and quantity nearly always move in opposite directions, economists usually do not bother to put in the minus sign. We are concerned with the co-efficient of elasticity of demand.Understanding values for price elasticity of demand * If Ped = 0 then demand is said to be perfectly inelastic. This means that demand does not change at all when the price changes – the demand curve will be vertical * If Ped is between 0 and 1 (i.e. the percentage change in demand from A to B is smaller than the percentage change in price), then demand is inelastic. Producers know that the change in demand will be proportionately smaller than the percentage change in price * If Ped = 1 (i.e. the percentage change in demand is exactly the same as the percentage change in price), then demand is said to unit elastic. A 15% rise in price would lead to a 15% contraction in demand leaving total...
Words: 2787 - Pages: 12
...Cambridge Resources for the IB Diploma Paper 1 (SL and HL) markschemes Examples of markschemes for Exam practice: paper 1 in the Economics for the IB Diploma CD-ROM are provided below. Paper 1 section A: Microeconomics Chapter 2 Competitive markets: demand and supply SL/HL core topics Part (a) questions 2.3 (a) Answers may include: • Definitions of demand and quantity demanded. • Theory of demand: law of demand with reference to changes in demand and factors that can cause changes in demand. • Demand and supply diagram showing initial equilibrium price and quantity, and a leftward shift in the demand curve, resulting in a lower equilibrium price and quantity and showing that there is no contradiction. • Examples of demand curve shifts and movements along a demand curve. Answers may include: • Definitions of supply and quantity supplied. • Theory of supply: the law of supply with reference to changes in supply and factors that can cause changes in supply. • Demand and supply diagram showing initial equilibrium price and quantity, and a rightward shift in the supply curve, resulting in a lower equilibrium price and greater equilibrium quantity. • Examples of supply curve shifts and movements along a supply curve. Answers may include: • Definitions of normal good, excess demand, reallocation of resources. • Theory of demand and supply with reference to excess demand, the factors that can cause shifts in the demand curve and the role...
Words: 12156 - Pages: 49
...Republic of the Philippines PROVINCE OF ZAMBOANGA SIBUGAY Municipality of Imelda 7007 WESTERN MINDANAO STATE UNIVERSITY- IMELDA EXTERNAL STUDIES UNIT CERTIFICATION TO WHOM IT MAY CONCERN: THIS IS TO CERTIFYthat JHONY BOY C. RECABLANCA is officially and presently enrolled as Fourth Year student in this institution taking up BACHELOR OF ELEMENTARY EDUCATION (BEED) this First Semester of School Year 2015-2016. This CERTIFIES further that he is a bonafide student in this institution. This CERTIFICATION is issued to the above named-student as a requirement for his educational assistance and for all any legal intent that it may serve him best. Issued this 30thday of June, 2015 at Western Mindanao State University, Imelda External Studies Unit, Imelda, ZamboangaSibugay. GREGORIO B. FEROLINO MERCY G. DELOS SANTOS Support Staff Administrative Officer IV Acting Unit Registrar DENNIS D. SILVA Unit Coordinator Republic of the Philippines PROVINCE OF ZAMBOANGA SIBUGAY Municipality of Imelda 7007 WESTERN MINDANAO STATE UNIVERSITY- IMELDA EXTERNAL STUDIES UNIT CERTIFICATION TO WHOM IT MAY CONCERN: THIS IS TO CERTIFY that JHONY BOY C. RECABLANCA is officially enrolled as Third Year student in this institution...
Words: 1925 - Pages: 8
...Peter Blackwell Chapter 2 Test April 30, 2012 (1) Distinguished between the care provided in a/an: a. Hospital treats the acutely ill whereas a SNF cares for those less acutely ill. b. Level of care required is less in ICF c. RCF residents carry out activities of daily living on their own, whereas ICF residents may need some help. d. Trauma center is equipped to handle more severe injuries. (2) Distinguished between: a. Medicare id for people age 65 and older. Medicaid is for the poor. b. Retrospective is upon or after discharge, concurrent is during hospitalization. (3) Describe the type of care provided by a Primary Care Centers. Basic care by an internist, family practice physician, or pediatrician (4) Name : (a) An ancillary service . X-ray, labs test, physical therapy (b) A primary care physician. Internist, family practice physician , or pediatrician (c) Medical ,surgical, newborn, obstetrics (d) AMA (against medical advice (e) 14 (5) State the term for : a. satellite b. hospice care c. swing beds d. observation beds e. respite care f. intrahospital transfer g. incident report (6) Identify the initials AMA as related to discharge. Against Medical Advice (7) Is the adolescent included in adult or children statistics ? Adult (8) Name a list compiled daily in a hospital ? Admission, transfer, death, discharge (9) Name three indexes maintained in a a hospital. MPI, number, disease, procedure/ operation (10)...
Words: 361 - Pages: 2
...Ralph Thomas ECON212-1402B-04 Principles of Microeconomics Professor: Lance Brofman Phase: 2 Individual Projects June 2, 2014 What is the price elasticity of demand? What determines it? What is elastic and inelastic demand? The Price Elasticity of Demand (commonly known as just price elasticity) measures the rate of response of quantity demanded due to a price change. The formula for the Price Elasticity of Demand (PEoD), (Moffat, M., para1 economic, about.com) is: PEoD = (% Change in Quantity Demanded)/ (% Change in Price) * If PEoD > 1 then Demand is Price Elastic (Demand is sensitive to price changes) * If PEoD = 1 then Demand is Unit Elastic * If PEoD < 1 then Demand is Price Inelastic (Demand is not sensitive to price changes) The price of a laptop increases by 20% and there is a 40% drop in the quantity demanded. =40/20 =2 The price of a pack of cigarettes increases by 10% and there is a 5% drop in the quantity demanded =10/5 =2 Why is elasticity an important concept for a business? If you use elasticity of demand information to predict the potential impact of a price fluctuation on the total sales revenue, the price elasticity of demand is a way of looking at the sensitivity of price related to product demand. Demand elasticity is an economic concept also known as price elasticity. Price elesticy can be a confusing at times but its main reason is to help the company gain the maximum profit possible. If you utilize the versatility of...
Words: 1110 - Pages: 5
...Introduction 2 Main concept and general characteristics of the firm 2 Current prices of some of the products 4 Product 1 5 Product 2 6 Analysis of the firm’s demand and supply 7 Consumer’s income identification and effect on product’s demand 7 Change in demand with respect to a competing product 7 Change in demand with respect to change in demographics 8 Change in supply with respect to change in technology 8 Effect on product with respect to change in number of competitors 9 The following are the main competitors of the company: 9 Effect on supply curve with change in cost of production 10 Change in supply and demand by other non-price determinants: 10 Analysis of the price elasticity of demand 11 Availability of close Substitutes 11 Passage of Time 11 Luxuries versus Necessities 11 Definition of the Market 11 References 13 Table of figures Figure 1 Founder, Adam Ashgar Ali 2 Figure 2 Musk Al Arab 15 Ml Oil Perfume Price Changes 5 Figure 3 Musk Al Arab Oil Perfume 5 Figure 4 Bakhoor Al Nabeel 40 Gm Price Changes 6 Figure 5 Bakhoor Al Nabeel 6 Figure 6 Changes With Consumer’s Income 7 Figure 7 Changes With Competing Product 7 Figure 8 Changes With Demographics 8 Figure 9 Changes With Technology 8 Figure 10 Changes With Competitors 9 Figure 11 Changes In Cost Of Production 10 Figure 12 Changes By Non-Price Determinants 10 Figure 13 Ped Of Bakhoor Al Nabeel, Elastic 12 Table of tables Table 1 Musk Al Arab Oil Perfume Price Change Past...
Words: 2553 - Pages: 11
...I currently work for Amerigroup; some of you may know it as Anthem (Blue Cross Blue Shield) or WellPoint. The company offers Medicaid, Medicare, and other medical services to over a million consumers on a daily basis. With the new rules and regulations of Obama Care; consumers are constantly trying to find the best price for medical coverage. When dealing with healthcare products and services consumers want the best insurance based on price, market options, and the consequences of being uninsured. Based on what I understood from reading Chapter 6 on elastic and inelastic demand, I would have to contend that Amerigroup’s products are both elastic and inelastic. Elastic healthcare means that the healthcare demand prices for the plans that Amerigroup offers are greater than 1; resulting in a quantity demanded change greater than the percentage change in price. For example, during the fourth quarter of 2014 the company reported that medical enrollment totaled approximately 37.5 million members (5.2% growth in 2014) (Anthem, 2015). Unfortunately, the company saw a decline in the medical enrollment of individual and local group portion at 32,000 and Medicare business of 37,000 (Anthem, 2015). What that means is that as the company increased memberships because of the demand for healthcare before the Obama Care second deadline; but unfortunately, saw a decline in Medicare memberships due to an increase in Medicaid enrollments. On the other hand, the inelastic demand side of...
Words: 737 - Pages: 3
...Economics Revision Chapter 1:Nature of work and leisure and trends in employment and earnings Earnings | Wages plus overtime pay, bonuses and commission | Economically inactive | Working age people who are neither in employment, nor unemployed, and so are not part of the labour force | Labour force participation rate | The proportion of working age people who are economically active | G8 | The group of major economies consisting of Canada, France, Germany, Italy, Japan, Russia, the UK and USA | Employment rate | The proportion of working age people who are in work | Part-time workers | People working less than 30 hours a week | Temporary work | Casual work, seasonal work, working for employment agencies, fixed – period contract work | Homeworking | Working either at home or in different places away from the central office, production or distribution facilities, using the home as a base | Teleworking | Working using a telephone and a computer at home, in an internet café or a train or plane | Occupational segregation | The dominance of an occupation by one gender | Primary sector | The first stage of production, agriculture | Secondary sector | The second stage of production, processing raw materials | Tertiary sector | The third stage of production, providing services | Tax wedge | The gap between what employers pay for labour & what workers receive in disposable income | Outsourcing | Subcontracting part of the production...
Words: 9975 - Pages: 40
...ALABAMA STATE UNIVERSITY COLLEGE OF EDUCATION SYLLABUS FOR RESEARCH METHODS IN PHYSICAL EDUCATION COURSE NUMBER: PED 506 CATALOG DESCRIPTION: Consistent with the College of Education Conceptual Framework, Part IV: Outcomes Context, this course is designed to provide graduate candidates with a knowledge base for scientific investigation. The course includes an overview of the methods and tools of research. Emphasis is on the planning and development of a research proposal. The research proposal will be appropriate for future use in the implementation of the thesis required in selected advanced level graduate programs. TEXTBOOK: Thomas, J. and Nelson, J. (2001). Research Methods in Physical Activity, 4th ed. Champaign: Human Kinetics Books. CREDIT HOURS: 03 INSTRUCTOR: Pat Floyd TELEPHONE: 334-229-4522 OFFICE: JRA 243 OFFICE HOURS: TBA ATTENDANCE POLICY: See University Policy Prepared by: Dr. Pat Floyd, Ph.D. Date: 9/05 Approved by: ___________________________ Date: ____________ Department Chair Approved by: ___________________________ Date: ____________ Dean NOTE: Any candidate requiring alternative formats for testing and/or handouts for this course, or other types of accommodations due to a disabling condition, should advise the instructor within the first week of classes. PURPOSE Consistent with the College of Education Conceptual Framework, Part IV: Outcomes Context...
Words: 1649 - Pages: 7
...Simulation Design Template- Sherman “Red” Yoder-Simulation #3 Date: File Name: Sherman “Red” Yoder Discipline: Nursing Student Level: Expected Simulation Run Time: 20 minutes Guided Reflection Time: 20 minutes Location: Simulation lab Location for Reflection: classroom Admission Date:Today’s Date: Brief Description of ClientName: Sherman “Red” YoderGender: Male Age: 80 Race: CaucasianWeight: 109 kg 240 poundsHeight: 183cm 72 inchesReligion: ProtestantMajor Support: Jon (son) Phone: 869-555-3452Allergies: no known allergiesImmunizations: Influenza last fall; tetanus – 4 years agoAttending Physician/Team: Dr. Frank BakerPast Medical History: Diabetes Type 2 diagnosed ______ (insert month that is six months prior)History of Present illness:Developed an ulcer on his big toe that was treated at home for 2 weeks. Son brought patient to ER 6 days ago and patient was treated for sepsis with IV antibiotics.Social History: Widower; Son (Jon) lives nearbyPrimary Medical Diagnosis: SepsisSurgeries/Procedures & Dates: L4-5 laminectomy – 25 years ago; transurethral resection of the prostate – 6 years agoNursing Diagnoses: Impaired Walking; Impaired Skin Integrity; Ineffective Health Maintenance; Ineffective Self Health Management | Psychomotor Skills Required Prior to Simulation Basic head to toe assessmentAssisting a patient with ambulationWound assessment and wet to damp dressing changeCognitive...
Words: 1834 - Pages: 8
...This page intentionally left blank Managerial Economics Managerial economics, meaning the application of economic methods in the managerial decision-making process, is a fundamental part of any business or management course. This textbook covers all the main aspects of managerial economics: the theory of the firm; demand theory and estimation; production and cost theory and estimation; market structure and pricing; game theory; investment analysis and government policy. It includes numerous and extensive case studies, as well as review questions and problem-solving sections at the end of each chapter. Nick Wilkinson adopts a user-friendly problem-solving approach which takes the reader in gradual steps from simple problems through increasingly difficult material to complex case studies, providing an understanding of how the relevant principles can be applied to real-life situations involving managerial decision-making. This book will be invaluable to business and economics students at both undergraduate and graduate levels who have a basic training in calculus and quantitative methods. N I C K W I L K I N S O N is Associate Professor in Economics at Richmond, The American International University in London. He has taught business and economics in various international institutions in the UK and USA, as well as working in business management in both countries. Cambridge, New York, Melbourne, Madrid, Cape Town, Singapore, São Paulo Cambridge...
Words: 75065 - Pages: 301
...Headaches are a nuisance and one that people always try to get rid of the moment it happens. Most resort to the normal relief options of ibuprofen, nonsteroidal anti-inflammatory drugs, to neurologists and prescribed medication to help alleviate the pain presented from such headache. Sometimes though, people prefer not to take medication or the medication just doesn’t seem to work for them. For reasons as such, people turn to complementary and alternative medicine to ease the pain, specifically acupuncture therapy. For reasons not quite fully understood, this therapy helps to treat headaches in positive outcomes for the majority of people. Acupuncture therapy is an alternative to the normal standard form of treatment that can virtually have no side effects, is much less invasive, and has no need drugs that need to be metabolized by the body. Acupuncture: What You Need To Know. (2014, November 1). https://nccih.nih.gov/health/acupuncture/introduction#hed3 According to the National Center for Complementary and Integrative Health, acupuncture is defined as a “technique in which practitioners stimulate specific points on the body—most often by inserting thin needles through the skin.” This Internet source article reviews what acupuncture is and what it can be used for in alternative medicine. For headache treatments, acupuncture may help relieve the pain from headaches and the amount of headaches one gets. In 2009, some studies were reviewed showing that...
Words: 1993 - Pages: 8
...CHAPTER ONE – BUSINESS ORGANIZATION AND ENVIRONMENT Unit 1.1 – Nature of Business Activity • A business is a decision-making organization that uses inputs to produce goods and/or services Inputs: resources used in the production process Outputs/products include: Goods: physical, tangible products Services: intangible products Exist to satisfy the needs (basic necessities) or wants (desires) of people, organizations and governments Important to have clearly defined functions/processes Ex. human resources, production, marketing and finance Customers: people/organizations that buy the product Consumers: those who use the product Consumer goods: sold to the general public and can be split into: Consumer durables: products that last a long time Non-durables: products that needs to be consumed very shortly after purchase Capital goods: purchased by other businesses Added value: difference b/w the value of inputs and the value of outputs Allows a business to sell its products for more than production cost (leads to profit) Comes in the form of: Speed/quality, prestige, brand image, feel-good factor, perceived value, inability to achieve cheaper products elsewhere Opportunity cost: best alternative decision that is foregone when making a decision Leads to rational decision making Choose options that will generate the highest valued benefits to the business Role of profit: Acts as incentive to produce Acts as the reward for risk takers Encourages innovation...
Words: 30408 - Pages: 122
...sector Non-governmental organisations Cooperatives Intellectual level K K K K K A2 Stakeholders in business organisations (a) Define stakeholders and explain the agency relationship in business and how it may vary in different types of business organisation. Define internal, connected and external stakeholders and explain their impact on the organisation. Identify the main stakeholder groups and the objectives of each group. Explain how the different stakeholder groups interact and how their objectives may conflict with one another. Compare the power and influence of various stakeholder groups and how their needs should be accounted for, such as under the Mendelow framework. K (b) (c) (d) (e) K K K K EXAM FOCUS POINT This chapter lays the foundation for an understanding of what organisations are and how they are controlled. These topics represent a higher level of knowledge. According to the Study Guide you must be able to apply knowledge to exam. 1 Purpose of business organisations 1.1 What all organisations have in common An organisation is: 'a social arrangement which pursues collective goals, which controls its own performance and which has a boundary separating it from its environment'. Here are some examples of organisations. A multinational car manufacturer (eg Ford) An accountancy firm (eg Ernst and Young) A...
Words: 9854 - Pages: 40
