1)The median American household earned $9,387 in 1973 and $60,336 in 2017. During that time, though, the CPi rose from 44.4 to 245.1. Instructions: For (a), round your answers to the nearest dollar. For (b) and (c), round your answers to one decimal place. a. Using 2017 as the base year, real median household income in 1973 was $10930 Real median household income in 2017 was $51879 b. The total growth rate in nominal median household income from 1973 to 2017 was: c. The total growth rate in real median household income from 1973 to 2017 was: 16.4 % 5428 %

2)26 Multiple Choice 0/1 _and the relationship between quantity demanded and price is The relationship between quantity supplied and price is direct; direct inverse; inverse direct; inverse inverse; direct strong; weak 0/1 30 Multiple Choice If the cost of inputs to produce cell phones increases, the equilibrium price and equilibrium quantity will most likely change in which of the following ways? Price decrease; Quantity increase Price decrease; Quantity decrease Price increase; Quantity has no change Price increase; Quantity increase Price increase; Quantity decrease 0/1 33 Multiple Choice Which of the following would shift the supply curve? Changes to the number of consumers Changes to income The price of the product The prices of resources Tastes and preferences
12 Multiple Choice 0/1 Canada and Mexico are considering entering into a trade agreement in regards to baskets and nets. Canada can produce 6 baskets in one hour or 2 nets in one hour. Mexico can produce 2 baskets in one hour or 1 net in one hour. Using this information, who has comparative advantage in the production of Baskets and Nets? Mexico for both goods. Canada for both goods. Mexico for baskets and Canada for nets Mexico for nets and Canada for baskets. They both have a comparative advantage in the item for which they have an absolute advantaan

3)Conduct a detailed analysis of possible website audience including their needs and expectations and accordingly write a detailed report on the highlights and shortcomings of current website design, content, navigation, responsiveness and other aspects.

4)If a large change in price results in a small change in demand, then demand is Select one:

a. Elastic. b. Perfectly elastic. c. inelastic. d. stagnant.

5)1)Do you think that there is a strong relationship among health, labor productivity, and income levels? Explain your answer.

2)What is meant by the statement that many devel- oping nations are subject to “dominance, depen- dence, and vulnerability” in their relations with rich nations? Can you give some examples?

3)Explain the many ways in which developing countries may differ in their economic, social, and political structures.

4)Explain the distinction between low levels of liv- ing and low per capita incomes. Can low levels of living exist simultaneously with high levels of per capita income? Explain and give some examples.

1)Real Median Household Income = Nominal Median Household Income / CPI * 100

Part a

Real Median Household Income 1973 = 9387 / 44.4 * 100 = $21141.9

Real Median Household Income 2017 = 60336 / 245.1 * 100 = $24616.9

Part b

Growth Rate in Nominal Medium Hosehold Income

= (Nominal Median Household Income in 2017 - Nominal Median Household Income in 1973) / Nominal Median Household Income in 1973 * 100

= (60336 - 9387) / 9387 * 100

= 50949 / 9387 * 100

= 542 .8%

Part c

Growth Rate in Real Medium Hosehold Income

= (24616.9 - 21141.9) / 21141.9 *100

= 3475 / 21141.9 * 100

= 16.4%

2)

Direct; inverse (option 3 is correct)

Explanation: Quantity supplied and price have a positive or direct relationship which implies that higher price leads to higher quantity supplied and lower price leads to a lower quantity supplied based on the law of supply.

Quantity demanded and price have inverse or negative relationship which implies that higher price results in lower quantity demand and lower price leads to higher quantity demand based on the law of demand.

2) price increases ; quantity decreases (option 2 is correct)

Explanation: Due to increase in the cost of input equilibrium price will increase and equilibrium quantity will decrease because as input cost or raw material cost increases the cost of production also increases as a result equilibrium quantity will decrease because labour will produce less products at higher price and as production cost is higher , the price will increase in order to gain profit.

3) The price of resource (option 4 is correct)

Explanation: change in price of resource will cause shift in the supply curve. As price of resource increases the cost of production increases which will lead to decrease in the supply of that product and supply curve will shift inwards. Whereas due to decrease in price of resource the cost of production decreases which will increase the supply of the product and supply curve will shift outward.

Other options are incorrect because those factors will cause a shift in demand curve and not in supply curve.

4) Canada for both goods(option 2 is correct)

Explanation: according to the question, Canada produces 6 baskets in one hour and 2 nets in one hour whereas Mexico produces 2 baskets in one hour and 1 net in one hour. It can be seen that Canada produces more unit of baskets and net in one hour than Mexico which implies that Canada has a comparative in the production of both baskets and net over Mexico.

3)Responsive design allows software developers to build a Web page that can dynamically adapt to the size of the devices. This development philosophy enables the rendering of Web pages in a fast and optimized way, ensuring a good user experience on mobile devices, tablet and desktop. In the scope of this study, we intend to explore the main advantages and limitations associated with responsive Web design. We adopted a quantitative approach based on a questionnaire filled by professionals in the industry that allowed us to identify the reasons that lead software developers to the adoption of the responsive design and also address the limitations felt by them. The results obtained indicate that offering a good user experience and increasing accessibility stands out as being the most important advantages. On the other hand, the main limitations include the compatibility with older Web browsers, the higher loading time and the difficulties in optimizing user experience. Finally, it was found that the perception of the advantages and limitations of responsive design is distinct for professionals with more professional experience in the field and for freelancer developers.

4)

If a large change in price results in small change in demand then demand is inelastic

Example for inelastic demand:petrol,salt ,water

calculation of inelastic demand

• calculate demand elasticity and divide by percentage change in quantity demanded by percentage change in price

5)There is strong relation exist between health, labour productivity and the wage level. A healthy worker will be more productive and active than the unhealthy worker. So some of the firms provide proper incentive measures to protect the health of the workers. This will increase the overall production of the economy. If the healthier worker works more, the income or wage rate will increase. This increasing wage rate will maintain and increase the standard of living of the people. Increasing the level of incentives will attract more workers to the firms and this will reduce the unemployment rate in the economy. The policy makers should form the measures with respect to these three factors. Thus the economy can attain higher level of growth through providing higher wage rate and ensuring healthy working conditions.
2) The developing countries are dominance, dependence and vulnerability in nature which shows the abundant amount of resources. There is a dominance over the resources existed in the nation and other developed foreign countries will attract to this domestic market through demanding the resources which is cheaply available in the domestic market. At the same time, there is a trading relation occurred between this domestic countries and foreign countries. They will export the cheaply available resources to the foreign market and import final products from the foreign market. This will shows the dependency of the domestic nation over foreign countries. On the other hand, some countries which have cheap resources were exploited by the foreign attack. For example, during colonial period of Britain over India, the British government squeezed the Indian resources and exploit the natural resources in India. India is also act as the importer of final and manufacturing goods from foreign nations.
3) Some of the developing countries are rich with natural resources and others are less available with resources with unskilled and inefficient labours. The countries which are situated in the tropical areas are less productive than others. There is a high population growth existed in most of the developing countries. There are certain restrictions of trade between the developed and developing countries sand this will affect the growth rate of the economy. There is lack of support for the research and development department in the developing country. There is lack of incentive programmes and training programmes were imposed for the people because of the long term financial constraints. The social structure in most of the developing countries are traditional and this lead to the inefficiency of development schemes. Most of the economic activities were handled by the government itself in developing countries. This will not helped for the increasing level of investment; both domestic and foreign. Thus the country will be still under the vicious circle of poverty without any changes from its root.
4) Low per capita income shows the size of income one unit in the economy is very low compared to the whole population. Low standard of living is the unavailability of the people in a country to meet their basic needs by taking required calories from their food system. Low income considered as the main reason for low standard of living. If a person gets more income than the initial level, he or she will raise the consumption level and savings. This will ensure better standard of living across the country. Low level of income can be seen under high per capita income. This is existed in the situation were low populous country with a majority of upper middle class. The per capita income is calculated by total income with total population. Here majority of the population were led a better life. But some part of the country shows low standard of living. In case of Australia, it is considered as a developed country but there is high poverty rate existed in some parts of the country.