Economics Question – 20210627M

Q1- (4 points) Consider an example of the tea market; if the supply and demand represented as: Qs = 3p ;Qd = 20 – p Solve: Q2. (1 point) Assume that Saudi Arabia produce only two products; Peanut Butter and Tomato sauce where are the price and quantity produced are: Year Peanut Butter (cane) Tomato sauce (cane) 2018 (base year) P= 30 SAR Q= 500 P= 8 SAR Q= 5,000 2019 P= 30 SAR Q= 550 P= 8 SAR Q= 6,000 2020 P= 33 SAR Q= 450 P= 10 SAR Q= 4,500 Calculate GDP deflator for the years 2018, 2019 and 2020.Also, calculate the Nominal and real GDP growth on 2019 & 2020, compare between them by explaining why they are different.Calculate the 2019 & 2020 inflation rates. Requirements: not long Show all works for calculation, final result will not be accepted without showing how you reach it. Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions Equilibrium price and equilibrium quantity and calculate total revenue? If there were a price celling equal to 6 SAR per each cup of tea imposed, calculate the price elasticity of demand? Does this consider elastic, inelastic or unit elastic?Also, calculate the total revenue? Now consider the coffee market; if the supply and demand is: Compare the total revenue between tea and coffee.Which one of product’s total revenue has been increased after the price have been increase and why?Explain in words and show the difference in numbers as well. Recall part a (tea) Calculate the CS & PS. Hint; you need to set Qs=0 & Qd=0 to find the intercept and calculate the CS, PS. then solve for P to find the intercept and calculate the CS, PS. Where the CS is the area between the intercept for demand and the equilibrium price you found on part a.Do not forget that this area is a triangle so carefully calculate the area.The same thing for PS. Now, if the government impose a huge sales tax equal to 80 % on tea, what is the CS, PS, government revenue and DWL?Hint; price paid by the buyer equal 8 SAR and price received by seller equal4 SAR, the difference is the tax per cup of tea.The intercept points for the supply and demand on this part are the same as the ones on part e. To find the quantity, plug either the price for the buyer on the demand curve formula or the price for the seller on supply curve formula.Also, remember CS, PS & DWL have triangle area, whereas tax revenue has rectangular area.Graph this manually so you can easily find the answer. Without calculation, would you expect to have higher/ lower government revenue and DWL on coffee and why?

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Order your paper today and save 8% with the discount code HAPPY

X
Open chat
1
You can contact our live agent via WhatsApp! Via + 1 323 412 5597

Feel free to ask questions, clarifications, or discounts available when placing an order.