Premium Essay

Micro Economics Mcgill

In:

Submitted By goncharov
Words 9007
Pages 37
SOLUTIONS TO ASSIGNMENT 1
TO
BUSINESS ECONOMICS: THEORY & PRACTICE
6TH EDITION, Canbek Publications

BUSINESS ECONOMICS
CEC2 532

Dr. Kenneth Matziorinis, CMC

Canbek Economic Consultants Inc.
Montreal, Québec
2012
© Canbek Publications

Problem 2.4
a)

Do

b)

D1

P

S

P

Do

S

D1
P1
P0

PO
P1
S

D1

Do

O

Qo Q1

S

Q

O

Market Price & Quantity Increase
c)
P

D1

D0

d)
P0

D0
S

D1
Q0

S

D1

P1

D0

Q1

Q

D0

P

P0

O

Q1 Qo

Market Price & Quantity Decrease

S

P1

D1

Q

O

Market Price & Quantity Decrease
e)

D1
Q1

Q0

Q

Market Price & Quantity Decrease
f)

P

D0

D1

S

P

P1

D1

S

P1

P0

D0

P0
S

O

D1

D0
Q0

Q1

Q

Market Price & Quantity Increase

D1
S

O

D0
Q0

Q1

Q

Market Price & Quantity Increase

Problem 2.4 (cont’d)
g)

h)
P

D

S0
S1

P0

P
P1
P0

P1
S0
O

S1

D
Q0

D

Q1

D
Q1

Q0

j)
D

P

S0
S1

P0

Q

Price Increases & Quantity Decreases

i)
P

S0

S0

0

Price Decreases & Quantity Increases

S1

S1

D

S0

P1
P0

P1
S0
O

D
Q0

Q1

Price Decreases & Quantity Increases

D
Q

O

Q1 Q0

Q

Price Increases & Quantity Decreases

Problem 2.5
P

D0

D1

S0
S1

P0

D1
S0

S1

0
a)

D0
Q0

Q1

Q

Quantity exchanged increases, the effect on price is indeterminate, given that we have no additional information at our disposal

P

D0

D1

S1
S0

P1

P0
D1
S1
0
b)

S0

D0
Q

Q

The equilibrium market price increases, the effect on the quantity exchanged is indeterminate, given that we were given no additional information

Problem 2.5 (cont’d)
P

D1

D0

S0
S1

P0

P1
D0
S0

S1

0
c)

D1
Q

Q

The

Similar Documents

Premium Essay

Sociology Essay and Class Notes Prep

...Chapter 1 What is sociology? * Seeks to explain, describe, and predict human behavior * Not concerned with individual human beings * Concerned with human beings in reaction to other human beings * Puts emphasis on group behavior (two or more people) (small group/large groups) * Looks at group social interaction, social behavior an influence of social structures on people How old is sociology? 200 years Why did sociology (as social science develop)? Who was the founding father of sociology? Main contributions of Sociology Early Auguste compte: Founding father of sociology, coined the word sociology How is Sociology different from other social sciences? Emile Durkheim: influenced development of functionalism 4 types of suicide by Durkheim: Egoistic: Mentally ill, lonely, social outcast, depression Altruistic: Kamikaze pilots, suicide bombers, cult members, obligation to the group, Fatalistic: Inmates, elderly, terminally ill, hopelessness Anomic: Anyone who cant deal with chaos, such as stock market crash or 1929-Insecurity Anomie: When society’s norms are questions, much social change, Society is rapidly changing Institutions are weakened, family, religion. Gender norms are questioned; values and belief systems are questioned Theory of structural functionalism 1 If a structure exists in society its because its functional, the social structure exists because it works Social structures: anything...

Words: 2927 - Pages: 12

Premium Essay

Reena

...1 Sociology - Presentation Transcript 1. 1.The Sociological perspective What is Sociology? Sociology is the scientific study of human society & social behavior. 2. What is Sociology? * It focuses primarily on the influence of social relationships upon people’s attitudes and behavior and on how societies are established and change. * The ultimate aim of sociology as summed up by Samuel Koenig is “ to improve man’s adjustment to life by developing objective knowledge concerning social phenomena which can be used to deal effectively with social problems.” 3. The Sociological Perspective * 1. The sociological perspective is important because it provides a different way of looking at familiar worlds. It allows us to gain a new vision of social life. * 2. This perspective stresses the broader social context of behavior by looking at individuals’ social location, employment, income, education, gender, age, and race –and by considering external influences –people’s experiences –which are internalized and become part of a person’s thinking and motivations. (cont…) 4. * We are able to see the links between what people do and the social settings that shape their behavior. * 3. The sociological perspective enables us to analyze and understand both the forces that contribute to the emergence and growth of the global village and our unique experiences in our own smaller corners of this village. 5. Subject Matter of...

Words: 2750 - Pages: 11

Free Essay

Prohibiting Child Labor

...http://www.sciencedirect.com/science/article/pii/S0883035513000049 International Journal of Educational Research Volume 60, 2013, Pages 38–45 Does prohibiting child labor increase secondary school enrolment? Insights from a new global dataset * Jody Heymann * Amy Raub1, ,  * Adele Cassola2,  * UCLA Fielding School of Public Health, 650 Charles E Young Dr S, Los Angeles, CA, U.S., 90095 * http://dx.doi.org/10.1016/j.ijer.2013.01.003, How to Cite or Link Using DOI * Permissions & Reprints Abstract Objective This article examines the association between minimum age of employment and secondary school enrolment. Methods We reviewed child labor laws for 185 states in 2008 and 2012. We assessed how many countries had a minimum age of employment of 15 or over and tested the association between these laws and secondary enrolment rates, after controlling for per-capita GDP, level of urbanization, and compulsory lower secondary education. Results A minimum age of employment of 15 or higher was significantly associated with increased secondary enrolment for girls, boys, and overall. Conclusions Combining a legislated minimum age of employment of 15 or higher with compulsory education may strengthen children's opportunity to achieve a secondary education. Highlights ► We reviewed child labor laws for 185 countries in 2008 and 2012. ► 45 countries allow children to work before the ILO-recommended age of 15. ► Countries banning work until 15...

Words: 6611 - Pages: 27

Free Essay

Building Social Business

...in 1976, has both pioneered the development of micro-finance, and created nearly 30 businesses designed to alleviate poverty. The article traces the gradual development of Grameen’s expertise in formulating social business models, which require new value propositions, value constellations and profit equations, and as such, resembles business model innovation. The article presents five lessons learned from this experience: three are similar to those of conventional business model innovation e challenging conventional thinking, finding complementary partners and undertaking continuous experimentation; two are specific to social business models: recruiting social-profit-oriented shareholders, and specifying social profit objectives clearly and early. We suggest these new business models e where stakeholders replace shareholders as the focus of value maximization e could empower capitalism to address overwhelming global concerns. Ó 2010 Elsevier Ltd. All rights reserved. Introduction The Grameen Group is a network of nearly 30 sister organizations linked to the Bangladeshi Grameen Bank, the microcredit pioneer and (together with its founder, Muhammad Yunus, one of this article’s co-authors) 2006 Nobel Peace Prize winner. This group was established in 1983 with the creation of the Grameen Bank (‘Grameen’ means village), within the framework of a new law drafted specifically for the purpose. Yunus, then a professor in economics, had already started to lend money to people trapped...

Words: 10080 - Pages: 41

Free Essay

Understanding India, Globalisation and Health Care Systems

...theoretical and methodological approaches. Topic areas were identified initially through an inductive approach, then rationalised into seven broad themes. Transnational consumption of health services; the transnational healthcare workforce; the production, consumption and trade in specific health-related commodities, and transnational diffusion of ideas and knowledge have all received attention from social scientists in work related to India. Other themes with smaller volumes of work include new global health governance issues and structures; transnational delivery of health services and the transnational movement of capital. Thirteen disciplines were found represented in our review, with social policy being a clear leader, followed by economics...

Words: 11974 - Pages: 48

Premium Essay

Brief History of Indian Monetary System

...A Brief History of the International Monetary System Kenneth N. Matziorinis 1. Introduction The international monetary system is the structure of financial payments, settlements, practices, institutions and relations that govern international trade and investment around the world. To understand the international monetary system, we can start by looking at how a domestic monetary system is structured. The Canadian financial system, for instance, is composed of a) a currency; b) a central bank which issues that currency; c) financial deposit-taking and lending institutions such as commercial banks and d) the Canadian Payments Association. The currency used in Canada is the Canadian dollar. It is the means of payment, store of value and unit of account for all transactions conducted within Canada. It is the currency in which all assets and liabilities are measured. As such, exchange rates are not an issue in our domestic transactions. The country’s central bank, is the Bank of Canada. Its role is to issue the currency of the land, the Canadian dollar, to manage the supply of money to ensure that there is neither too much of it that could cause inflation, nor too little that could cause recession and to oversee the financial system, acting as a lender of last resort when the need arises. Commercial banks and other non-bank financial institutions are the main players in the financial system. They engage in the process of financial intermediation, which is the taking of deposits...

Words: 12586 - Pages: 51

Premium Essay

Value Chain Managment

...2 Value Chain Management The theoretical background is defined around the central term value chain. Chapter 2 presents research concepts to manage the value chain structured by their area of specialization either on supply, demand or values. Secondly, within an integrated framework, the results of the specialized disciplines are combined with the objective to manage sales and supply by values and volume. Value chain management is defined and positioned with respect to other authors’ definitions. A value chain management framework is established with a strategy process on the strategic level, a planning process on the tactical level and operations processes on the operational level. These management levels are detailed and interfaces between the levels are defined. Since the considered problem is a planning problem, the framework serves for structuring planning requirements as well as the model development in the following chapters. 2.1 Value Chain Value chain as a term was created by Porter (1985), pp. 33-40. A value chain “disaggregates a firm into its strategically relevant activities in order to understand the behavior of costs and the existing and potential sources of differentiation”. Porter’s value chain consists of a “set of activities that are performed to design, produce and market, deliver and support its product”. Porter distinguishes between • primary activities: inbound logistics, operations, outbound logistics, marketing and sales, service in the core value...

Words: 16329 - Pages: 66

Free Essay

Flsdfsd

...| Friday » October 19 » 2007 |   | | A tale of three good companies and their people   | Melanie Collison | Freelance | Saturday, October 13, 2007EDMONTON The idea that individuals are important and can make a worthwhile contribution is front and centre as Edmonton's top companies compete for employees in this labour-short marketplace.To recruit and retain the people of their choice, they're offering recognition, and access to executive ears. They're covering tuition, and investing in safety, health and wellness. And they're building in fun and flexibility.Here are three Alberta companies that embody modern workforce thinking.MICRALYNE INC.A custom electronics components manufacturing firm, Micralyne is one of a mere handful that make microelectromechanical systems (MEMS) used by specialized instrument makers.MEMS components are so tiny that hundreds and hundreds fit on a chip the size of your fingertip. These components move when an electrical force is applied, and trigger an automobile's air bag release, for instance, or direct an overseas telephone call, explains says Jaya Gurjar, marketing and communications.A spinoff from a University of Alberta research facility, Micralyne thrives on new ideas and an open door policy."People are definitely appreciated by management," Gurjar says. "Within the company, there's room to grow."The company as a whole is growing, too, both in its physical plant in the Edmonton Research Park, and in the global marketplace where employees...

Words: 7759 - Pages: 32

Premium Essay

Alibaba

...Wiki Loves Earth has come to Australia for the first time. Upload your photographs of our unique natural environment, help improve Wikipedia and win some great prizes along the way! ------------------------------------------------- Alibaba Group From Wikipedia, the free encyclopedia For the character from the Arabian folk tale, see Ali Baba. Coordinates: 30°11′31.12″N 120°11′9.79″E Alibaba Group Holding Limited | | Type | Public Company | Traded as | NYSE: BABA | Founded | 4 April 1999; 17 years ago Hangzhou, Zhejiang, China | Headquarters | Hangzhou, Zhejiang, China | Area served | Worldwide | Founder(s) | Jack Ma | Key people | * Jack Ma (Chairman) * Daniel Zhang (CEO) * Joseph Tsai (Executive vice-chairman) | Industry | Internet | Products | E-commerce, Online auction hosting, Online money transfers, mobile commerce | Services | Online shopping | Revenue |  CN¥76.204 billion (2015)[1] | Operating income |  CN¥22.716 billion (2015)[1] | Net income |  CN¥24.261 billion (2015)[1] | Total assets |  CN¥255.434 billion (2015)[1] | Total equity |  CN¥146.097 billion (2015)[1] | Employees | 34,985 (March 2015)[2] | Subsidiaries | Guangzhou Evergrande Taobao F.C., Taobao, Tmall,UCWeb, AliExpress | Slogan(s) | Global Trade Starts Here | Website | alibabagroup.com | Alibaba Group | Simplified Chinese | 阿里巴巴集团 | Traditional Chinese | 阿里巴巴集團 | [show]Transcriptions | | Alibaba Group Holding Limited is a Chinese e-commerce company...

Words: 5906 - Pages: 24

Free Essay

Health Care Financing, Efficiency, and Equity

...NBER WORKING PAPER SERIES HEALTH CARE FINANCING, EFFICIENCY, AND EQUITY Sherry A. Glied Working Paper 13881 http://www.nber.org/papers/w13881 NATIONAL BUREAU OF ECONOMIC RESEARCH 1050 Massachusetts Avenue Cambridge, MA 02138 March 2008 I thank Courtney Ward for research assistance and participants at the conference on Exploring Social Insurance, held in Toronto, November 2006. A version of this paper is forthcoming as a chapter in Exploring Social Insurance: Can a Dose of Europe Cure Canadian Health Care Finance? Edited by C. M. Flood, M. Stabile and C. Hughes Tuohy (Kingston, Montreal: Queen's School of Policy Studies, McGill-Queen's University Press). The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research. NBER working papers are circulated for discussion and comment purposes. They have not been peerreviewed or been subject to the review by the NBER Board of Directors that accompanies official NBER publications. © 2008 by Sherry A. Glied. All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit, including © notice, is given to the source. Health Care Financing, Efficiency, and Equity Sherry A. Glied NBER Working Paper No. 13881 March 2008 JEL No. H42,H51,I18 ABSTRACT This paper examines the efficiency and equity implications of alternative health care system financing strategies. Using data across...

Words: 8614 - Pages: 35

Premium Essay

Datamoitor

...PART I THEORY, SCHOOLS AND PRACTICE 1 Schools of Thought in Strategic Management: Fragmentation, Integration or Synthesis Tom Elfring and Henk W. Volberda Over the last thirty years, strategic management has become established as a legitimate field of research and managerial practice (Shrivastava, 1986: 363). In the evolution of strategy research, a diversity of partly competitive and partly supplementary paradigms have emerged. To provide an unequivocal definition would mean ignoring the versatility of strategic management. The choice of a definition and the application of specific strategic management techniques is greatly dependent on which paradigmatic schools of thought in strategic management one prefers. In this book, we will therefore review the various schools of thought and their contribution to the theory and practice of strategy. A school of thought is understood to be the range of thought of a specific group of researchers, which has crystallized within the field of strategic management (Brown, 1993). In other words, a school of thought can be seen as an institutionalized paradigm. Besides reflecting on the variety of schools in strategy, we will also sketch out new promising directions in strategy research and practice. Although some strategy scholars have argued that the achieved multiformity in schools of thought signifies an enrichment of the research within the field of study (cf. Mahoney, 1993), other scholars from related disciplines complain about...

Words: 11042 - Pages: 45

Premium Essay

Branding Luxury Brand

...The Concept of Luxury Brands by Klaus Heine Technische Universität Berlin, Department of Marketing Prof. Dr. Volker Trommsdor Wilmersdorfer Str. 148, 10585 Berlin, Germany Phone: +49.30.314-29.922 • Fax: +49.30.314-22.664 Email: Klaus.Heine@marketing-trommsdor.de • Internet: www.marketing.tu-berlin.de Heine, Klaus (2011) The Concept of Luxury Brands, Technische Universität Berlin, www.conceptouxurybrands.com. Edition: 1.0 This paper is published as the rst part of the serial publication Luxury Brand Management ISSN: 2193-1208 Editing & Review: Bartek Goldmann and Kate Vredenburgh Cover page: Kevin Duggan Acknowledgements: Dr. Steen Herm. I would like to thank the following people for their support and constructive criticism: Prof. Dr. Volker Trommsdor, Prof. Dr. Reinhold Roski, Dr. Vera Waldschmidt, Demet Tuncer, by Klaus Heine (2011); Copyright by Klaus Heine. All rights reserved. Apart from any fair dealing for the purpose of re- search or private study, or criticism or review, no part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, scanning, or by any information storage or retrieval system, without permission in writing from the author. Technische Universität Berlin, Department of Marketing, Wilmersdorfer Str. 148, 10585 Berlin, Germany, Tel: +49.30.314-29.922, Fax: +49.30.314-22.664 Contents List of Figures . . . . . . ...

Words: 37078 - Pages: 149

Premium Essay

No One

...Sustainability ...............................................................................4 2. Key Players in the Field The Indo-Dutch Group Other Players ...........................................................................5 ....................................................................5 .............................................................................6 3. Production Impact of Operation Flood ....................................................7 Background ................................................................................7 Evidence of Increase in Milk Production ..........................................7 Causes of Growth in Milk production ...............................................10 4. Socio Economic Impact of Operation Flood ............................................13 The Evidence ...............................................................................14 Why was OF considered appropriate for the Poorest? .....................15 Constraints faced by the landless...

Words: 16034 - Pages: 65

Premium Essay

Complexity and Strategy

...Part IV Emerging and Integrating Perspectives January-2007 MAC/ADSM Page-213 1403_985928_17_cha14 January-2007 MAC/ADSM Page-214 1403_985928_17_cha14 CHAPTER 14 Complexity Perspective Jean Boulton and Peter Allen Basic principles The notion that the world is complex and uncertain and potentially fast-changing is much more readily acceptable as a statement of the obvious than it might have been 30 years ago when complexity science was born. This emerging worldview sits in contradistinction to the view of the world as predictable, linear, measurable and controllable, indeed mechanical; it is the so-called mechanical worldview which underpins many traditional approaches to strategy development and general management theory (see Mintzberg, 2002 for an overview). The complexity worldview presents a new, integrated picture of the behaviour of organisations, marketplaces, economies and political infrastructures; these are indeed complex systems as we will explain below. Some of these behaviours are recognised in other theories and other empirical work. Complexity theory is unique in deriving these concepts through the lens of a coherent, self-consistent scientific perspective whilst nevertheless applying it to everyday, practical problems. These key principles can be summarised here: There is more than one possible future This is a very profound point. We are willing to accept the future may be too complicated to know, but the notion...

Words: 12410 - Pages: 50

Premium Essay

Business Law

...STRATEGIC DILEMMAS OF A SMALL MARKET PLAYER: THE CANADIAN WINE INDUSTRY Judith J. Madill Eric Sprott School of Business, Carleton University 1125 Colonel By Drive, Ottawa, ON, Canada, K1S 5B6 +1 (613) 520-2600 Ext. 8014 Fax: +1 (613) 520-4427 e-mail: Judith_Madill@carleton.ca Allan L. Riding Eric Sprott School of Business, Carleton University 1125 Colonel By Drive, Ottawa, ON, Canada, K1S 5B6 +1 (613) 520-2394 Fax: +1 (613) 520-2363 e-mail: al_riding@carleton.ca George H. Haines, Jr. Eric Sprott School of Business, Carleton University 1125 Colonel By Drive, Ottawa, ON, Canada, K1S 5B6 +1 (613) 520-2600 Ext. 7487 Fax: +1 (613) 520-4427 e-mail: george_haines@carleton.ca Abstract This paper undertakes an analysis of the strategic situation of the Canadian wine industry. A very small player by world standards, Canadian wineries face intense and intensifying competition within the domestic market. The demand side of this market is dominated by a small number of large provincial monopoly retailers. The supply side comprises five substantial firms that account for ninety percent of total wine production and a large number of very small wineries. The Canadian competitive environment is characterized by strong historical reputations of (and consumer preferences for) Old World wines, economies of scale and technology associated with New World wines, (at best) stable per capita wine consumption patterns, rapid increases in both the number of domestic wineries and land under viticulture...

Words: 9606 - Pages: 39