Readers Questions IV

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You are welcome to ask questions on Economics. However, due to volume of questions, I can no longer promise to answer all questions.

I will post the answer on this blog, for everyone to benefit from.

I shall try to answer the economics question and / or point to other resources but please bear in mind.

  1. The replies will be guidance and not for duplication. Your essays should be your own work.
  2. My speciality is economics for British A Level standard. My university economics is rusty in parts, because generally I don’t use it in teaching A level economics.
  3. I can’t guarantee to always give full answers it also depends on my time schedule.
  4. I will answer as a new post. Check home page of blog for new post. With question and answers
  5. Generally, I don’t answer questions, which involve mathematical calculations, they tend to be doing someone’s homework. however, I may give examples, of calculations, if I think it helps explain economics principles.

I studied PPE at Lady Margaret Hall college, Oxford University, and currently work as an Economics A Level teacher. I have also examined several different economic units for Edexcel AS and A2.

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If I answer your question, and you find it helpful, a donation is appreciated here for details on donating $2.

276 thoughts on “Readers Questions IV”

  2. Hi, I am struggling with the following question:

    You are an investment analyst specialising in cigarette related share prices. A lawsuit on behalf of smokers injured by cigarettes results in $2 billion in punitive damages awarded against the cigarette industry. Your colleague predicts a huge drop in cigarette profits and strongly recommends selling cigarette-related shares. Do you agree with this view? Why or why not? (Assume Price elasticity of demand for cigarettes as a product group is very low, while supply is close to perfectly elastic)

    Hope you can help 🙂

  3. ok my question is about the economic meltdown in the states, the possible causes (including iraq n afganistan),the main component that contributed to the disaster,the government policy that was parcialy responsible for the failure and the measures that are being taken to fix the economy and what is in the pipeline?
    i knw big question :/ but it’s a long essay 🙁 im not looking for the answers… just some facts that i can use.
    I hope you can help

  4. Hi! I have problems with the question below

    When considering national economic policy government must accept that there is a trade-off between inflation and unemployment. Dicuss.

    Hope you can give me some suggestions

  7. 1) Are people/markets myopic and forgetful – do people become “irrationally exhuberant” in booms and irrationally pessimistic in busts? Is there anything that can be done to stop this?
    2) Will external shocks always happen? Is there anything that can mitigate them to stop them turning into recessions?

  8. Hi, I hope you can answer this question.
    Is Real GDP per head a better indicator of living standards compared to growth of Real GDP? Why?

  9. Do you think that the world will have achieved all of the Millennium Development Goals by the time 2015 comes around?

  11. Do we have positive relationship between inflation and interest rate? What is then the impact over AD and real output?

  13. Explain the shapes of the total, average and marginal revenue functions for (a) a perfectly competitive firm and (b) a monopoly.

  14. How the credit rating agencies has contributed to the growth and subsequent collapse of the mortagage-backed securities markets in the recent past? Why the rating agencies hasn’t been checked if they had been exagerating the market?

  15. i would like to know how to answer this question:
    1. Why government intervention is not desirable? Use some example to illustrate eg. Tax is common use to intervene.
    2. Why government’ s interventions always fail?

    Thanks~

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