When there’s no intervention, the equilibrium quantity is Q…

When there’s no intervention, the equilibrium quantity is Q and the equilibrium price is PE. Suppose the government decides to impose a price ceiling in this market, as it thinks that PE is too high. With the price ceiling, price goes down to Pc, and because of that quantity drops to Q2.   Price Ceiling text only Based with the figure above, match the surplus with the correct areas:

Mary and Matt met Paul, the banker, to work out the details…

Mary and Matt met Paul, the banker, to work out the details of a mortgage. They all expected that inflation would be 2%, and they agreed on a nominal interest rate of 6%. As it turned out, the actual inflation rate was 5%. What was the expected real interest rate? Show your work! What was the actual real interest rate? Show your work! Who benefited and who lost because of the unexpected inflation? Justify your answer!

Mary and Matt met Paul, the banker, to work out the details…

Mary and Matt met Paul, the banker, to work out the details of a mortgage. They all expected that inflation would be 2%, and they agreed on a nominal interest rate of 6%. As it turned out, the actual inflation rate was 5%. What was the expected real interest rate? Show your work! What was the actual real interest rate? Show your work! Who benefited and who lost because of the unexpected inflation? Justify your answer!

Suppose your Chaffey college tuition per semester is $4,000…

Suppose your Chaffey college tuition per semester is $4,000 and your extra expenses with the college during the year (books, other materials, gas, meals, etc.) sum $3,000. If you were not attending college, you could work at firm X and get an annual salary of $ 5,000. What is your opportunity cost of attending college in one year? In your calculations assume that you are taking 2 semesters in a year. Show your work! You won’t get credit if you provide only the final answer! HINT: recall that opportunity cost includes both explicit and implicit cost!