petergarylee

I will ans Econ questions as much as I can, hope it will help u. Please try to ask your question before 2/5 as I WONT ANSWER ANY QUESTION AFTER THAT( cuz I will be a tutor during summer).

P.S. Plz give me an real question or example cuz its hard to explain the general theory in here, thx.

[ 本帖最後由 petergarylee 於 2015-4-29 12:47 AM 編輯 ]

Ray159357

試從兩方面比較CPI同GDP deflator A)開支權數B)評估生活費用上升對住戶的影響的準確度

[ 本帖最後由 Ray159357 於 2015-4-24 01:42 PM 編輯 ]

petergarylee

B)CPI is a price index which only measures the prices of consumption goods and services. GDP deflator is a price index of the prices of all items in GDP, which includes C, I, G and NX. If we compare two of the price index, we can find out that the accuracy of CPI to estimate the effect of an increase in living cost to household(private sector) is higher than GDP deflator. It is because 1) CPI focus on consumer's expenditure, which directly reflect how the household will be affected by a change in general price level. 2) GDP deflator is a broader price index includes too much other factors( investment, export...) , where those factors won't  immediately affect the general price level but can reflect the macro-economics change in the country. 3)(OUT OF SYLLABUS) GDP deflator only calculate every quarter and with a time lag, it is unsuitable for timely estimation of inflation, which means it can't reflect the effect of an increase in living cost immediately, thus it has a lower accuracy.

For A) , can you give me the English of 開支權數?

Ray159357

weighted expenditure? i guess

petergarylee

Sorry, I really dont understand the question, can you form another complete sentence in English to elaborate your question again?

kenny1545

Mr Lee is a private medical doctor. He wants to expand his business. He can
raise funds by
(1) borrowing from banks.
(2) inviting partners to form a general partnership.
(3) forming a private limited company and issuing shares.
A. (1) and (2) only
B. (1) and (3) only
C. (2) and (3) only
D. (1), (2) and (3)
請問點解(3)都錯?  private limited company不是可以issue shares 給家人和朋友嗎?

petergarylee

Mr Lee can form a private limited company but the company cant 'issue shares' as there is not legal market for him to 'issue' the shares of the company. I think the problem is on the verb 'issue' , where you can transfer the shares of the private limited company, but it is not 'issue', where 'issue' may has a meaning of 'offer the shares to the general public', which clash with the restriction of private limited company. In chinese, 'issue' has the meaning of '發行'.

[ 本帖最後由 petergarylee 於 2015-4-25 07:29 AM 編輯 ]

dontaskme

A severe nuclear leakage occured in Japan in 2011. Explain how his would affect the opportunity cost of using nuclear power.

dumbo101

CPI,GDP deflator 過100系唔系就系inflation,定系要比較舊年,increase rate

petergarylee

Form my understanding, a severe nuclear leakage increase the opportunity cost of using nuclear power in different way( electricity generation, weapon...). It is because the nuclear leakage crisis increase the experimental risk of using nuclear power, which the potential/real cost(destruction caused by the nuclear leakage) of using nuclear power increase, the value of using nuclear power decreased, thus the value/cost(price) of using other resources/power increase as they are more stable. Using nuclear power means you need to scarify the usage of other resources/power(the opportunity cost), when the value of them increase, the opportunity cost will increase. This is only one example, there still have a lot way to answer this question.

petergarylee

You should have a clear concept that inflation rate is the percentage change in the price level from one year to the next. It is correct that if the index get over 100, it means there is an inflation. Only CPI can reflect this condition accurately(as I've answered it before), where CPI is comparing the price level from the current year with last year, but GDP deflator is comparing the nominal GDP to real GDP. First GDP deflator is not comparing the price level. Second, real GDP is construct from the price level of 'base year', where the 'base year' is not necessarily to be 'last year'.

Here is the answer from me on your page(additional notes):
I still want to mention that GDP deflator is based on the 'base year' , the above question ' Year 1's GDP deflator is 100, year 2's is 110,year 3 is 100' means that only in year 2 , the price level compare to the base year is higher as the index in more than 100, thus the purchasing power of money is the lowest among the three years. Also, under most of the conditions, with only one year's GDP deflator cannot shows whether there is an inflation or a deflation.
And you are correct, there is deflation in year 3.

P.S. I think the answer in your page which answered by another guy is most likely wrong!

[ 本帖最後由 petergarylee 於 2015-4-26 07:55 AM 編輯 ]

kenny1545

引用:

原帖由 petergarylee 於 2015-4-25 07:28 AM 發表
Mr Lee can form a private limited company but the company cant 'issue shares' as there is not legal market for him to 'issue' the shares of the company. I think the problem is on the verb 'issue' , wh ...

感謝你, 另外我想問多條
In economics, which of the following statements about capital is correct ?

A. The quantity of fixed capital cannot be changed in the short run.
B. Capital earns the highest rate of return among all factors of
production.
C. Capital is produced to satisfy consumers’ wants directly.
D. The geographical mobility of capital is greater than that of land.


option D, 如果我用雀仔同影印機比較, land 既geographical mobility唔係更高?

petergarylee

I think the answer is A, and are you sure D is one of the choice? As I don't think geographical mobility can be used to describe capital or land, it is used for people (labour). BTW, do you want me to explain why?

kenny1545

引用:

原帖由 petergarylee 於 2015-4-26 04:12 AM 發表
I think the answer is A, and are you sure D is one of the choice? As I don't think geographical mobility can be used to describe capital or land, it is used for people (labour). BTW, do you want me to ...

但個model ans係D....A應該唔岩, 因為唔一定fixed capital 都可以係variable factor..

surelose123456

For monopoly princing:
如果佢題目冇講明 即mc 係upward sloping?And幾時要畫ac curve,幾時唔洗畫?

[ 本帖最後由 surelose123456 於 2015-4-26 02:41 PM 編輯 ]