The most widely used measure of income inequality is the CPI index of poverty. A firm should purchase an extra machine if the rate of return on the machine is less than the interest rate. The economic justification for public subsidies to university research is based on the value of this research to the university. Changes in demand and supply cause changes in the equilibrium price. If the demand rises, supply rises.
Oranges are cheaper in Florida and therefore the demand is greater in Florida.
When the quantity demanded exceeds supply, the equilibrium price will rise. None of these choices are correct. They argued that most of the economic burden of the tax would have been borne by renters, because the demand for land is generally less elastic than its supply. Assume that marginal revenue equals rising marginal cost at 100 units of output. 100 units of output.