demanded due to a change in price is small. The formula for computing elasticity of demand is: (Q1 – Q2) / (Q1 + Q2) (P1 – P2) / (P1 + P2) If the formula creates a number greater than 1, the demand is elastic. In other words, quantity changes faster than price. If the number is less than 1, demand is inelastic. In other words, quantity changes slower than price. If the number is equal to 1, elasticity of demand is unitary. In other words, quantity changes at the same rate as price. Close substitutes
Words: 689 - Pages: 3
demanded due to a change in price is small. The formula for computing elasticity of demand is: (Q1 – Q2) / (Q1 + Q2) (P1 – P2) / (P1 + P2) If the formula creates a number greater than 1, the demand is elastic. In other words, quantity changes faster than price. If the number is less than 1, demand is inelastic. In other words, quantity changes slower than price. If the number is equal to 1, elasticity of demand is unitary. In other words, quantity changes at the same rate as price. Close substitutes
Words: 689 - Pages: 3
READING: PARKIN CH 9 Lecture Plan 1. INCOME EXPANSION PATHS ( Inferior & Superior Goods ( Engle Law 2. Price-Consumption Paths ( Changing Relative Prices ( Deriving the Price-Consumption Path ( Deriving Individual Demand Curves 3. Income & Substitution Effects Income Expansion Paths 1 Introduction In Figure, we see an individual consuming two goods X1 and X2 with P1=$1, P2=$1 and total income is $20. We also see that his/her
Words: 1668 - Pages: 7
Lecture 1: Introduction 1 Optimization Problems We start with the utility maximization problem commonly seen in intermediate microeconomics. Example 1.1. Denote I a consumer’ monetary income, p1 and p2 the prices of two goods, s and x1 and x2 for their quantities. The budget set of the consumer is B = f(x1 ; x2 ) : p1 x1 + p2 x2 Ig: 1 where D X is the constraint set. The minimization problem can be de…ned similarly. f (x) have the same set of solutions, Theorem 1.1
Words: 582 - Pages: 3
total amount the consumer has to spend Consumption bundle: (x1,x2); tells us how much of each good the consumer is choosing to consume m; The amount the consumer has to spend Budget constraint: p1x1+p2x2 m p1x1 is amount consumer spends on good 1 p2x2 is amount consumer spends on good 2
Words: 969 - Pages: 4
program would have a few very long CPU bursts. Operating System Concepts 6.2 1 CPU Scheduler • The CPU scheduler (short-term scheduler) selects from among the processes in memory that are ready to execute, and allocates the CPU to one of them. • A ready queue may be implemented as a FIFO queue, priority queue, a tree, or an unordered linked list. • CPU scheduling decisions may take place when a process: 1. Switches from running to waiting state (ex., I/O request). 2. Switches from running
Words: 1887 - Pages: 8
CHAPTER 4 SI UNIT PROBLEMS SOLUTION MANUAL SONNTAG • BORGNAKKE • VAN WYLEN FUNDAMENTALS of Thermodynamics Sixth Edition Sonntag, Borgnakke and van Wylen CONTENT SUBSECTION Correspondence table Concept problems Force displacement work Boundary work: simple one-step process Polytropic process Boundary work: multistep process Other types of work and general concepts Rates of work Heat transfer rates Review problems English unit concept problems English unit problems PROB NO. 1-19 20-30
Words: 15028 - Pages: 61
Intermediate Microeconomics by Jinwoo Kim 1 Contents 1 The Market 4 2 Budget Constraint 8 3 Preferences 10 4 Utility 14 5 Choice 18 6 Demand 24 7 Revealed Preference 27 8 Slutsky Equation 30 9 Buying and Selling 33 10 Intertemporal Choice 37 12 Uncertainty 39 14 Consumer Surplus 43 15 Market Demand 46 18 Technology 48 19 Profit Maximization 52 20 Cost Minimization 54 21 Cost Curves 57 22
Words: 12774 - Pages: 52
Unit 1 Government, Policies and the Public Services Learners Name: Assignment Title: 1 Roles and Levels of Government Assessment Criteria: P1,P2,M1 Unit Tutor: Mr Mitchell Assignment Issue Date: 9-9-13 Assignment Due Date: 24-10-13 Unit 1 Government, Policies and the Public Services Assignment 1 Learning Outcomes | 1 | Assessment Criteria | P1, P2, M1 | Assessment method | Powerpoint presentation with supporting written evidence | Suggested Reading 1. Axford B
Words: 612 - Pages: 3
Case Studies 1. SOLUTION TO STARTING RIGHT CASE, CH. 3, PAGE 110 This is a decision-making-under-uncertainty case. There are two events: a favorable market (event 1) and an unfavorable market (event 2). There are four alternatives, which include do nothing (alternative 1), invest in corporate bonds (alternative 2), invest in preferred stock (alternative 3), and invest in common stock (alternative 4). The decision table is presented. Note that for alternative 2, the return in a good market is $30
Words: 4522 - Pages: 19
