Suppose the monthly income of an individual increases from Rs 20,000 to Rs 35,000 which increases his demand for clothes from 40 units to 50 units.
5
Sep
2017
Business Economics
Suppose the monthly income of an individual increases from Rs 20,000 to Rs 35,000 which increases his demand for clothes from 40 units to 50 units.
Calculate the following:
Analyze the changes in the calculated costs as quantity produced increases. (10 Marks)
Assume that a consumer consumes two commodities X and Y and makes five combinations for the two commodities:
Calculate Marginal rate of Substitution and explain the answer. (10 Marks)
a) Suppose the monthly income of an individual increases from Rs 20,000 to Rs 35,000 which increases his demand for clothes from 40 units to 50 units. Calculate the income elasticity of demand and interpret the result.
b) Quantity demanded for tea has increased from 300 to 450 units with an increase in the price of the coffee powder from Rs 25 to Rs 30. Calculate the cross elasticity of demand between tea and coffee and explain the relationship between the goods.
We at Case Study offer all types of online academic assistance, be it homework help, coursework help, case study help, Assignment help, Project Reports, Thesis, Research paper writing help.
And for each service, each subject and each topic, we dedicate an expert writer who has knowledge in that specific field of study. Experience impeccable academic writing service like never before.
Our experts understand that the time of the customers is very precious. The professors of universities and colleges are very rigorous about the submission deadlines of projects or assignments. Hence, the key objective of our case study help service is to deliver the assignments to the customers even before the promised submission deadlines.
