The following questions must be answered using complete sentences with correct grammar. The news articles referenced in these questions are available to you on Blackboard (and you should read these articles before answering these questions).

Don't use plagiarized sources. Get Your Custom Essay on
Get an essay WRITTEN FOR YOU, Plagiarism free, and by an EXPERT!
Order Essay

The answers to these questions must be your own work. DO NOT COPY AND PASTE any information from these articles or any other source in your answers. This is an academic integrity violation and you will receive a grade of zero. If you would like to use long phrases/full sentences from these articles (or other sources) in your answers, be sure to use quotation marks and an appropriate citation. Moreover, you need to be answering these questions using the concepts covered in ECON 250. Answers to these questions using economic concepts not relating to the material covered in ECON 250 will not be given credit.

One of the first topics we studied this semester was scarcity, and Economics can be defined as the study of how to best allocate scarce resources to satisfy society’s unlimited wants/needs. After reading the NPR article “COVID-19 Hospitalizations Hit Record Highs. Where are Hospitals Reaching Capacity?”, answer each of the following questions no less than 3 complete sentences each:

Given the surge in COVID-19 cases and hospitalizations in many areas across the country, why might it be difficult to allocate scarce resources to where they are most needed (i.e. where these resources may best satisfy society’s needs)?

The relative scarcity of healthcare resources is being exhibited during this pandemic. Typically, prices of goods/services act as the allocator for a good/service (i.e. whoever is willing to pay the price gets the good/service), but that’s not usually the case for healthcare services. So when the need for healthcare resources exceeds the number of resources, what might hospitals be forced to do to allocate these resources?

In chapter 3, we discussed how supply and demand together determine prices for goods and services. Read The New York Times article “Price Gouging Complaints Surge Amid Coronavirus Pandemic”, and discuss each of the following points in a minimum of 3 complete sentences each:

a. Using the supply and demand framework, describe why prices increased for the goods referenced in the article.

b. What are price gouging laws, when do these laws typically go into effect, and why do states implement these laws (i.e. who is the government trying to protect)?

c. If consumers are still willing to purchase the goods referenced in the article after the prices of these goods increased dramatically, are the demands for these goods relatively elastic or relatively inelastic? Justify your answer.

d. Some economists believe that price gougers are doing a service because they are helping to effectively distribute scarce resources by allocating the goods to those who need it most (i.e. those who are willing to pay a high price for the goods). Do you think the sellers mentioned in this article were effectively

helping to distribute scarce resources? (Note: This is an opinion-based question, thus there is no right or wrong answer, but you must support and explain your answer.)

Many restaurants have struggled to make their rent payments during this pandemic. After reading the NPR article“Pandemic Means Closing Time for Many New York City Restaurants and Bars”, answer each of the following questions in no less than 2 complete sentences each:

Explain the difference between fixed and variable costs (see Chpt. 8).

For Nitecap, the bar in Manhattan referenced in the article, is rent a fixed or variable cost? Justify your


Explain why Nitecap (or more generally, many restaurants across the country) began earning a loss (i.e. a

negative profit) during the pandemic even though the costs of operating stayed relatively constant. (Hint: Profit=TR-TC).

One Philadelphia restaurant, Monk’s Café, has decided to shut down temporarily. After reading the article “Monk’s Café in Center City closes temporarily”, explain in a minimum of 3 sentences how this firm’s decision relates to the short-run shut down rule discussed in chpt. 8.

Homework Sharks
Order NOW For A 10% Discount!
Pages (550 words)
Approximate price: -

Our Advantages

Plagiarism Free Papers

All our papers are original and written from scratch. We will email you a plagiarism report alongside your completed paper once done.

Free Revisions

All papers are submitted ahead of time. We do this to allow you time to point out any area you would need revision on, and help you for free.


A title page preceeds all your paper content. Here, you put all your personal information and this we give out for free.


Without a reference/bibliography page, any academic paper is incomplete and doesnt qualify for grading. We also offer this for free.

Originality & Security

At Homework Sharks, we take confidentiality seriously and all your personal information is stored safely and do not share it with third parties for any reasons whatsoever. Our work is original and we send plagiarism reports alongside every paper.

24/7 Customer Support

Our agents are online 24/7. Feel free to contact us through email or talk to our live agents.

Try it now!

Calculate the price of your order

We'll send you the first draft for approval by at
Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

We work around the clock to see best customer experience.


Flexible Pricing

Our prces are pocket friendly and you can do partial payments. When that is not enough, we have a free enquiry service.


Admission help & Client-Writer Contact

When you need to elaborate something further to your writer, we provide that button.


Paper Submission

We take deadlines seriously and our papers are submitted ahead of time. We are happy to assist you in case of any adjustments needed.


Customer Feedback

Your feedback, good or bad is of great concern to us and we take it very seriously. We are, therefore, constantly adjusting our policies to ensure best customer/writer experience.