This figure depicts a market (demand–D and supply–S) of a good. Consumers' disposable income increases by 20% and the equilibrium moves from point E1 to E2. Initial demand (D1) is linear and price elasticity of demand satisfies |ED| = 1 at point E1. The income elasticity (EY) o
Currently you work for 40 hours per week at the wage rate of 20 an hour. Your free hours are defined as the number of hours not spent in work per week, which in this case is24 hours \times 7 days − 40 hours = 128$ hours per week. Suppose now that your wage rate has increased by 25%. If you are happy
John and Penelope have been in a relationship for 3 years now. Although in the beginning everything seemed great, now they have lost their initial spark and for both of them the situation feels like a dead end. John is thinking about divorcing Penelope, but he believes this is not preferable since h
