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Economics Assessment Test
1. (a) Yes, in my opinion I believe that in the movie industry there would be continued success in the coming years ahead. The reason to this being is in a market such as that of the movies, which is now becoming monopolistic anyone can join the market with no barriers to entry or exit. The monopolists always try to maximise their sales by putting much investment on the advertisement of their products, which are the m…
Introduction
Before purchasing land, one has to consider its viability. Therefore it should be in a strategic place where its value for money can be achieved. Raw land development requires proper strategies and exploiting all the possible options before opting to acquire and developing it.Therefore; you have to evaluate ways in which the returns will be positive and run for many years. Proper evaluation is very important since it will give you…
Contents
Introduction
Market Concentration
Market Structure
Short-Run Equilibrium in Perfect Competition
Identical Cost Condition
Market Power Paradigm
Impact of Exchange Rate
Conclusion
References
Introduction
The importance of sound market analysis in the business sector cannot be overemphasized and is crucial for business success regardless of the size and nature of business operations. Furthermore…
Introduction
In then given questions below the basics of economics are explained in a precise and concise manner. These questions will help in grasping the basic knowledge which is required to understand such a vast subject which important for every country. With demand and supply it will enable the readers to get an idea of how the economy is entirely dependent on both these terms to be effectively in equilibrium. With the basics of econometr…
Elasticity impact on events
The degree of responsiveness which measures the percentage change in the quantity demanded or supplied due to percentage change in the price of that commodity is known as elasticity. South32 is a metals and mining company which produces several metals such as alumina, energy, manganese, zinc, metallurgical coal, silver, bauxite and nickel in Australia. Since the products are diversified and there are few marke…
Economic Outlook of Australia
The current state of monetary policy and economy outlook
Before discussing the monetary policy of Australia, an important concept of Cash Rate must be discussed. Monetary policy choices are conveyed as a cash-rate goal, which is the overnight interest rate on the monetary sector. The Reserve Bank of Australia's significant benchmark interest level depending on its inflation goal charged on overnight borrowi…
The Rate of Employment in the UK and the Impact of Southeast Immigration on It
Theoretical framework
The research challenge is extremely demanding as it requires the determination of the effect of migration on the employment outcomes of UK workers. The consequences of migration cannot adequately be distinguished from other factors that affect labour market outcomes at the same time. While we are certain that the influence of immigration is …
ECONOMIC ANALYSIS
Table of contents
Article 1: Question analysis
Article 2: Question a analysis
Question b analysis
Article 3: Question analysis
References list
Article 1: Question analysis
As per the circular flow of income, the exchanges take place by way of money and the goods and services. The circular flow of income leads to good knowledge of a nation's economy. The circular flow of i…
Answer 1
a. Demand Equation:
P = 200 – 0.4Qd
Supply Equation:
P = 20 + 0.5Qs
In order to find equilibrium point:
200 – 0.4Q=20 + 0.5Q
200-20=0.4Q+0.5Q
180=0.9Q
180/0.9= Q
200=Q
In order to find the equilibrium price:
P= 200 – 0.4(200)
P=200-80
P=120
So, equilibrium price is equivalent to 120 and equilibrium quantity is equivalent to 200 of apricots.
b.
To determine where the dem…
Econometrics Assessment Answer
Problem Set 3
Time Series and Autocorrelation
EC421 Introduction to Econometrics
Problem 1
PtGas 01PtoiluNo, we cant expect OLS estimator to be consistent. From the history, it is evident that gas price depends on previous periods gas prices. So, there can be autocorrelation problem.
OLS estimate of model 1a is provided below
Call
lm(formula price_gas price_oil, data data)
Residuals
Min 1Q Median 3Q …
1,212,718Orders
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