Questions from Microeconomics

Q: In the court case over whether anyone could use Conan Doyle’s character

In the court case over whether anyone could use Conan Doyle’s character Sherlock Holmes without paying a fee, Judge Posner argued that the first Sherlock Holmes story was written in 1887, so allowing...

Q: If the demand for orange juice is inelastic, will an increase

If the demand for orange juice is inelastic, will an increase in the price of orange juice increase or decrease the revenue that orange juice sellers receive?

Q: University towns with major football programs experience an increase in demand for

University towns with major football programs experience an increase in demand for hotel rooms during home football weekends. Hotels respond to the increase in demand by increasing the prices they cha...

Q: Suppose that initially the gasoline market is in equilibrium, at a

Suppose that initially the gasoline market is in equilibrium, at a price of $2.50 per gallon and a quantity of 45 million gallons per month. Then a war in the Middle East disrupts imports of oil into...

Q: Food service firms buy meat, vegetables, and other foods and

Food service firms buy meat, vegetables, and other foods and resell them to restaurants, schools, and hospitals. US Foods and Sysco are by far the largest firms in the industry. In 2015, these firms w...

Q: An editorial in the Economist magazine discusses the fact that in most

An editorial in the Economist magazine discusses the fact that in most countries—including the United States—it is illegal for individuals to buy or sell body parts, such as kidneys. a. Draw a demand...

Q: Draw a demand and supply graph to show the effect on the

Draw a demand and supply graph to show the effect on the equilibrium price in a market in the following situations. a. The demand curve shifts to the right. b. The supply curve shifts to the left.

Q: What is meant by tax incidence?

What is meant by tax incidence?

Q: Define rivalry and excludability and use these terms to discuss the four

Define rivalry and excludability and use these terms to discuss the four categories of goods.

Q: Define the cross-price elasticity of demand. What does it

Define the cross-price elasticity of demand. What does it mean if the cross-price elasticity of demand is negative? What does it mean if the cross-price elasticity of demand is positive?