BBM102: Microeconomics Assignment, WOU, Malaysia Consider Figure 1 below, which depicts the rubber market in Malaysia At the initial market equilibrium
| University | Wawasan Open University (WOU) |
| Subject | BBM102: Microeconomics |
Question 1
Consider Figure 1 below, which depicts the rubber market in Malaysia. At the initial market equilibrium, the total quantity produced is 500 kg per year and the average price is RM7 per kg.
(a) A sudden increase in demand for rubber causes the demand schedule to shift from D to D*. Explain the adjustments in prices and quantity that would take place after the increase in demand
(b) Calculate the price elasticity of supply for rubber, and comment on the degree of elasticity
(c) There is a sudden and drastic change in weather conditions, causing the supply of rubber to fall from S to S’ (Figure 2 above). Compute the price elasticity of demand, and comment on the degree of elasticity
(d) Seeing that prices have increased to RM17, the government considers setting a price ceiling policy to stabilize prices. Explain the effects of this policy if the price is fixed at RM18
(e) Elaborate on the effects of the price ceiling policy if the price is fixed at RM10. Explain if your answer differs from part (d)
Question 2
(a) Explain the effects of a price floor policy on the welfare of producers and consumers
(b) Elaborate on the concept of economies of scale
Question 3
(a) Contrast between perfect competition and oligopoly (20 marks)
(b) Distinguish between monopoly and monopolistic competition
Get Help By Expert
Are you pursuing BBM102 Microeconomics at Wawasan Open University (WOU)? When it comes to academic excellence, turn to Malaysian Assignment Experts for unmatched support. Our dedicated team at Assignment Helper My specializes in assisting WOU students with their coursework. Whether it's assignments, projects, or research papers, we've got you covered. Besides, this you also hire our skilled writers for MBA Assignment Help.
Recent Solved Questions
- Strategic Project Management Assignment: A Comparative Study of Project Life Cycle Models and Stakeholder Dynamics Across Industries
- Master of Policy Sciences Assignment, CU, Malaysia Students are required to extract data on the performance of a country in terms of sustainability policies and management practices
- Comparative Ethics Assignment, AeU, Malaysia Moral ethics are considered relative, which means it is strongly related to culture and circumstances
- BACS1024: Write a proposal to develop a Point-of-Sales (POS) system for any industry eg: Introduction to Computer System Assignment, TARC, Malaysia
- To develop path planning strategies that enable coordinated exploration of large areas using aerial: Final Year Project Assignment, Malaysia
- Higher Education Reform Assignment: Curriculum Development Strategies for a Future-Ready Malaysia
- FIT1048 Fundamentals of C++ Assignment, MUM, Malaysia You are asked to write a set of C++ classes that simulate the operation of an airline
- TEE103: (a) Determine the equivalent resistance for circuits in Figure 1 below: Circuit Theory I Assignment: WOU, Malaysia
- HRM70304 Managing People for Performance Assessment 3 September 2025
- Contract law Assignment, TP, Malaysia What you have learned? What is the takeaway? What are the skills acquired from this subject? Will you be using this skill in future
