Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

The new york times reported (Feb 17 1996) that subway ridership declined after a fare increase: nearly four million fewer riders in Dec 1995, the first full month after the price of a token increased 25 cents to 1.50 than in the previous Dec, 4.3 percent decline.

a. use this data to estimate the price Elasticity of demand for subway rides.

b . according to your estimate what happens to the transit authority's revenue when the fare rises?

c. Why might your estimate of the Elasticity be unreliable?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91232222

Have any Question?


Related Questions in Microeconomics

Question what is the consumer price index cpi and how is it

Question: What is the Consumer Price Index (CPI), and how is it determined each month? What effect does inflation have on the purchasing power of a dollar? How does it explain differences between nominal and real interes ...

Question a firm is currently producing 30 units of output

Question: A firm is currently producing 30 units of output. At this level of output produced: Its average total cost is 110 (ATC =110) The market price per unit of output is 125 MR= 30 MC = 50 A) Is this firm making prof ...

Question in a certain market demand isq 2000 - 100pcannot

Question: In a certain market demand is Q = 2000 - 100P, cannot produce more than 10 units. No other sellers may enter the market. a. Draw the demand and supply curves and find the equilibrium price, quantity, and profit ...

Question okunwhat does arthur okun mean when he says that

Question: Okun What does Arthur Okun mean when he says that government can redistribute only in a Leaky Bucket? Explain why he may be right, and why he may be wrong. How much leakage would you accept? Why? In your answer ...

Question 1 how does monetary policy affect the share

Question: 1. How does monetary policy affect the share market? 2. How could the existence of unemployment benefits or other transfer programs reduce the severity of an economic contraction? The response must be typed, si ...

Quesiton imagine that you are considering an mba program

Quesiton: Imagine that you are considering an MBA program once you complete your health care management degree. Describe each step of the consumer decision-making process specifically from this perspective. (Your overall ...

Question in the tradeoff between economic output and

Question: In the tradeoff between economic output and environmental protection, what do the combinations on the protection possibility curve represent? The response must be typed, single spaced, must be in times new roma ...

Question a assuming a competitive labor market use a labor

Question: a. Assuming a competitive labor market, use a labor supply and demand diagram to illustrate what will happen to wages and employment if the demand for the product being produced decreases. b. Assuming a monopso ...

Question despite airport precautions x hijacked an airplane

Question: Despite airport precautions, X hijacked an airplane in Chicago and forced the pilot, crew, and passengers to fly to New York. Upon reaching New York, X shot the pilot before giving up and surrendering to the Ne ...

Question research your present or past companys view on

Question: Research your present or past company's view on corporate social responsibility. If you do not currently work for a company, pick a company that supports corporate social responsibility. Are there programs or i ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved