Your Perfect Assignment is Just a Click Away

We Write Custom Academic Papers

100% Original, Plagiarism Free, Customized to your instructions!

glass
pen
clip
papers
heaphones

MBA5130 Northcentral Wk 2 Supply Demand Principles to Evaluate Market Trends

MBA5130 Northcentral Wk 2 Supply Demand Principles to Evaluate Market Trends

MBA5130 Northcentral Wk 2 Supply Demand Principles to Evaluate Market Trends

Week 2 – Assignment: Use Supply and Demand Principles to Evaluate Market Trends and Events
Previous Next
Instructions
Assume that the City Council in Prescott, Arizona is considering implementing price ceilings on rental units based on the number of bedrooms in the unit. The demand function for rental units (on a single bedroom equivalent basis) is given by QD = 120 – 4P and the supply function is given by QS = 2P, where P is price and Q is quantity. The Council is considering imposing a ceiling price on rental units of Pmax = 16.
1. Using the given functions, draw a corresponding demand curve and a supply curve. Properly label the equilibrium price and quantity. Then show what will happen to equilibrium if the City Council imposes a price ceiling at 16.
NOTE: There are numerous guides online that demonstrate how to draw supply and demand curves; most are done in Excel. To create the demand curves that you need for this assignment, create an Excel file with a price column, including prices from $1 to $30. Using the formulas, compute the quantity demanded at each price and quantity supplied for each price. Then copy and paste the graph into your Word document where you will write out answers to the following questions.
2. Are consumers of rental-housing in Prescott well-served by this price ceiling policy? Provide a careful economic analysis in support of your claim. In particular, discuss what happens if a regulated price is set that is not equal to the equilibrium price.
3. Suppose that the Council is concerned that landlords will allow the quality of their rental units to deteriorate following the imposition of the ceiling price. What can you infer about the level of quality that landlords’ provision will allow if consumers are worse off, following the imposition of the ceiling price? Provide a careful economic analysis in support of your claim.
4. Suppose now that the proposal before the City Council contemplates imposing a price ceiling on apartment rentals, but not on house rentals. Would owners of rental houses in Prescott be likely to support this proposal, or would they prefer the status quo (i.e., no price ceilings)? Provide the economic rationale for your answer. (In answering this question, you should ignore all supply-side considerations. In other words, just assume that supply adjusts fully to accommodate demand.)
5. Find three recent scholarly articles concerning proposals to increase the minimum wage in the United States. Using a supply, demand and, in this case, price floor analysis similar to what you did for the rental unit price ceiling, for this assignment write a 3 to 5-page analysis, based on sound economic principles, of the proposal.
Length: 5 to 7 page Word document plus a reference page.
Your paper should demonstrate thoughtful consideration of the ideas and concepts presented in the course and provide new thoughts and insights relating directly to this topic. Your response should reflect scholarly writing and current APA standards. Be sure to adhere to Northcentral University’s Academic Integrity Policy.

“Place your order now for a similar assignment and have exceptional work written by our team of experts, guaranteeing you A results.”

Order Solution Now

Our Service Charter

1. Professional & Expert Writers: Homework Discussion only hires the best. Our writers are specially selected and recruited, after which they undergo further training to perfect their skills for specialization purposes. Moreover, our writers are holders of masters and Ph.D. degrees. They have impressive academic records, besides being native English speakers.

2. Top Quality Papers: Our customers are always guaranteed of papers that exceed their expectations. All our writers have +5 years of experience. This implies that all papers are written by individuals who are experts in their fields. In addition, the quality team reviews all the papers before sending them to the customers.

3. Plagiarism-Free Papers: All papers provided by Homework Discussion are written from scratch. Appropriate referencing and citation of key information are followed. Plagiarism checkers are used by the Quality assurance team and our editors just to double-check that there are no instances of plagiarism.

4. Timely Delivery: Time wasted is equivalent to a failed dedication and commitment. Homework Discussion is known for timely delivery of any pending customer orders. Customers are well informed of the progress of their papers to ensure they keep track of what the writer is providing before the final draft is sent for grading.

5. Affordable Prices: Our prices are fairly structured to fit in all groups. Any customer willing to place their assignments with us can do so at very affordable prices. In addition, our customers enjoy regular discounts and bonuses.

6. 24/7 Customer Support: At Homework Discussion, we have put in place a team of experts who answer to all customer inquiries promptly. The best part is the ever-availability of the team. Customers can make inquiries anytime.