Welcome to Live Chat

Welcome to LiveWebTutors Services, World's leading Academic solutions provider with Millions of Happy Students.

Call Back
logo

24x7 Support Available

To Get the Best Price Chat With Our Experts

chat now

In A Hurry? Get A Callback

shopping cart 0

Subject Solutions Code Description Price Delete

Amount Payable : $0

continue shopping proceed to checkout

World's Leading Assignment Library

PART I (12 marks) Q1. Illustrate a housing rental market of a hypothetical city MQ with an effective rent ceiling using a diagram of supply and demand. Label consumer surplus, producer surplus, search

Question Preview:

PART I (12 marks) Q1. Illustrate a housing rental market of a hypothetical city MQ with an effective rent ceiling using a diagram of supply and demand. Label consumer surplus, producer surplus, search cost and deadweight loss. (4 mark) Q2. Using a separate diagram, show the impact of population growth on the housing rental market in MQ. Show the change in the black market price. Show the change in the quantity traded in the market. (2 mark) Q3. Given population growth from Q2, explain the changes in consumer surplus, producer surplus, search cost and deadweight loss resulting from this...

View Complete Question >>

Question Preview:

PART I (12 marks) Q1. Illustrate a housing rental market of a hypothetical city MQ with an effective rent ceiling using a diagram of supply and demand. Label consumer surplus, producer surplus, search cost and deadweight loss. (4 mark) Q2. Using a separate diagram, show the impact of population growth on the housing rental market in MQ. Show the change in the black market price. Show the change in the quantity traded in the market. (2 mark) Q3. Given population growth from Q2, explain the changes in consumer surplus, producer surplus, search cost and deadweight loss resulting from this population growth. (2 mark) Q4. Read the article “Controversial new rent-bidding app ‘a threat to affordability” as linked here: http://www.news.com.au/finance/real-estate/controversial-new-rentbidding-app-a-threat-toaffordability/news-story/9b613807f501927e93b3c1c90e83b07d Suppose Rentberry is launched in MQ. Discuss whether this can improve efficiency of the housing rental market based on search costs and consumer surplus you illustrated in Q1. (2 mark) Q5. Discuss whether Rentberry can improve fairness of the housing rental market. (2 mark) ECON111 MICROECONOMIC PRINCIPLES S1 2017 PART II (4 marks) Read the article “Our addiction to Apple is why its profits are soaring” as linked here: http://theconversation.com/our-addiction-to-apple-is-why-its-profits-are-soaring-36854 Based on this article, explain how Apple’s sales may increase sales despite its ‘seemingly inflated prices’ using the total revenue test. (Maximum 60 words). ECON111 MICROECONOMIC PRINCIPLES S1 2017 PART III (20 marks) Read the article “Why the government should tax unhealthy foods and subsidise nutritious ones”: http://theconversation.com/why-the-government-should-tax-unhealthy-foods-andsubsidise-nutritious-ones-72790 Answer the following questions. Q1. ‘Excise’ and ‘GST’ are common taxes used in Australia. Do your own research and explain the difference between the two. Identify the source of information. Is the tax on unhealthy foods described in the article excise or GST? (2 mark) Q2. Using the demand and supply model, show the potential impact of this tax on the equilibrium price and quantity in the market of unhealthy foods. (2 mark) Q3. What is the purpose of this tax? Will the purpose of the tax be achieved if implemented? (2 mark) Q4. On the same diagram, show the change in consumer surplus, the change in producer surplus, and the government’s tax revenue. Explain who, amongst consumers, producers and the government, loses from the tax on unhealthy foods. (4 marks) Q5. Identify the dilemma that policy makers face by discussing the gains and losses of imposing the tax on unhealthy foods. (4 mark) Q6. Subsidising the market of healthy foods is known to increase both consumer and producer surplus. Now consider both the tax on unhealthy foods AND the subsidy on healthy foods at the same time. Discuss the impact of this combination of taxes and subsidy on i) consumers, ii) producers of unhealthy foods, and iii) producers of healthy foods. (6 marks) ECON111 MICROECONOMIC PRINCIPLES S1 2017 PART IV (24 marks) Australia is considered to have a comparative advantage in producing beef, and Japan is considered to have a comparative advantage in producing cars. Q1. In trade between Australia and Japan, which country should specialise in beef production and which country should specialise in car production? Which country will export cars and import beef? (2 marks) Q2. Draw a diagram that shows the impact of free trade with Japan on the prevailing price in Australian car market. Does trade increase or decrease consumer surplus and producer surplus? Explain the changes by labelling areas on the diagram. (4 marks) Q3. How does trade change total surplus in comparison to before trade? Does Australia gain from trade? (4 marks) Q4. Suppose that the Australian government imposes tariff on imported goods. In comparison to the case of free trade, does the tariff increase or decrease consumer surplus and producer surplus in the Australian car market? Draw a separate diagram and explain the changes by labelling areas on the diagram. (4 marks) Q5. How does the tariff change total surplus in comparison to the situation before the tariff? Does Australia gain from imposing tariff? (4 marks) Q6. Based on your analysis above, rank the following three situations from the most beneficial to the least from i) the consumers’ perspective, ii) the producers’ perspective, and iii) the perspective of Australia as a nation (6 mark)  no trade  free trade  trade with tariff

View Less >>

Solution Preview

PART I (12 marks)

Q1. Illustrate a housing rental market of a hypothetical city MQ with an effective rent ceiling using a diagram of supply and demand. Label consumer surplus, producer surplus, search cost and deadweight loss. (4 mark)

Solution 1: The below diagram depicts impact of effective rent ceiling on supply and demand of a housing rental of a hypothetical city MQ:

question Get solution

$20

Orginal Price : $26.0

Pay Now

Upload Assignments

250 words

side

Get Your Assignment

Don’t delay more, place your order now. Quick assignment help will be offered to you.

Order Now

CUSTOMER REVIEWS

Excellent

logo

Based on 702 reviews See all reviews here

One of the Best Service

I trust LiveWebTutors for my assignments because of their ability to deliver the perfect assignments time and again. Only a few of my assignments required minor revisions. The rest assured it is the best assignment writing service in the market.

Elizabeth
Sydney

Great Service and on time

I felt so exhausted and burdened with the large number of assignments I had to write and desperately needed someone to help me with all the writing and there was LiveWebTutors company on the internet. They finished my assignments before the due date and also offered me a first-timer discount.

Christina
Perth

One of the Best Assignment Provider

I ordered my Mathematics and Marketing assignments from them last month. I received the content on the set date. Most importantly, the assignments were well-written and plagiarism free. I scored a top grade for the assignment written by them. They are a reliable company.

Oli
Brisbane

Very Helpful Customer Service

I was quite unsure about getting my assignment written online but after coming across LiveWebTutors.com, all my worries have vanished. The quality of the assignments written by their writers is just invincible. Their customer support is very polite and helpful. You should try their service at least once

Kabir
Adelaide