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Assume that the University Regents implement a policy that requires the box office to sell all tickets at a price of $35 regardless of who is playing. Think about all of this information, Then: a. Draw appropriate supply and demand curves to represent the market for tickets, purchased at the box office, to a U of M football home game. b. Indicate the location of the equilibrium price of a ticket on the appropriate axis. c. In a free market, price adjusts to equate quantity supplied with quantity demanded. Is this a free market? Explain well. d. Indicate on the graph where you think the university’s price for a ticket sits relative to the equilibrium price. Explain well.
Which of the following is included in the calculation of GDP? The purchase of a new edition of a foreign textbook that was produced in a different nation. The purchase of ink and paper supplies by a textbook company for the production of new textbook..
While you were an intern you bought 5 packages of hot dogs a month. After acquiring a full-time job with a considerably higher salary, you stopped purchasing hot dogs. Explain this behavior? Peter’s Pizzeria sells both pizzas and wings. It wants to i..
What type of market structure is the supermarket industry - What type of market structure is the market for vegetables provided by farmers?
Explain why the different definitions are important also explain the different procedures of the money supply.
As a price searcher, a monopoly firm?
Suppose that you own a car wash and that its total cost fuction is: C= 20 + 2Q + .3Q^2, where C = total cost (in dollars) per hour and Q is the number of cars washed per hour. You receive 5 dollars for each car washed. What is the maximum profit that..
Given this structure, why is it that there is little price competition between carriers on the same route Why is there not more price competition If they do not choose to compete on price in most cases, how do they compete with one another What..
Banks manage their assets in a variety of ways. Explain the importance of “liquidity management”? What is the concern of the bank in regard to the liquidity of its assets? What can banks do to management liquidity risk?
Consider a closed economy and a small open economy. Derive the goods market equilibrium for each economy numerically and graphically. Be sure to explain what you are doing.
For retirement, you decide to deposit $1329 at the end of each year and you will increase your deposit by $105 per year. How much will you have at the end of 20 years if the bank pays 2.5% compounded annually?
Donna buys goods X and Y. She can just afford the bundle X = 6 and Y = 11. She can also afford X = 12 and Y= 8. Each of these bundles exhausts her income. Draw Donna’s budget line. What is the ratio of the price of x to the price of y?
Inflation across the board has increased at a rate of 4.3% over the last twelve months. For example, prices for food, gasoline, clothing and entertainment have all increased. Unemployment remains low and stable. What should the Fed do? Describe the e..
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