Calculate the equilibrium price and quantity, and show this

Assignment Detail:- ECON6049 Economic Analysis - Macquarie University Compulsory Assignment Question 1: Suppose that the market for vape pens in Australia is competitive and illustrated by the following supply and demand equations:Demand: QD = 1000 - 20PSupply: QS = 30P a- Calculate the equilibrium price -$- and quantity, and show this equilibrium on a diagram- Use your diagram to calculate the consumer surplus, producer surplus, and total surplus- b- Due to the health reason, the government wants to discourage people from smoking cigarettes including vaping- Suppose the government wants to reduce the consumption of vape to 400- What would be the specific -per unit- tax imposed by the government -on vape pens producers- to achieve this outcome???? What is the per unit incidence of the tax experienced by consumers, and by producers???? c- Explain why the tax burden is not equally distributed between consumers and producers- d- The imposition of this tax might help improve people's health, and increase the government's tax revenue- However, it could lead to a reduction in the national well-being- Explain how- Question 2 a- Based on the three functions of money discussed in the lecture, reason if cryptocurrencies such as Bitcoin and Ether are money or not- -Your answer should be around than 300 words-- b- Consider a bank's balance sheet as shown below- Would this bank face any liquidity risk and default risk???? What would follow such risks???? -Your answer should be around 300 words- Assets   Liabilities   Base money $100 Payable on demand $1,200 Loans $1,100     Total $1,200   $1,200 Question 3 The figure below shows the demand and supply shocks in a number of sectors at the onset of the Covid19 pandemic- a- Assume the retail trade, and education and health services markets are competitive and were at the market equilibrium before the pandemic- With the help of diagrams, explain the impact of Covid-19 on the market equilibrium in these two sectors-b- Discuss some possible reasons leading to the supply and demand shocks in these two sectors -hint: you may want to focus on the situation in your country-- -Your answer should be around 300 words-- Question 4The below table shows Marginal Propensity to Consume -MPC- by distribution of wealth and income, and by employment status, in a number of countries in Europe-a- What story can you make of from this table regarding MPC within each individual country and across countries????b- Explain why top wealth holders and income earners have a lower MPC than the bottom wealth holders and income earners- And why does the MPC vary by employment status????-Your answer should be around 500 words for the whole question-   Question 5As you are probably aware, rising inflation has become one of the top concerns of authorities and policy makers in many countries including advanced nations- As a result, central banks around the world have begun to increase interest rates to tame inflation- Take your country, or Australia, or the United States as a case study, discuss the recent inflation story in that country and policy responses -which have been introduced or should be in place- to put inflation under control- -Your answer should be around 400- 500 words- Attachment:- Economic Analysis-rar

Most Recent Questions


Helping Students for Excellence in Academics, GET Help with Assignment? Order Now