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Movies are distributed in a variety of forms, not just first run theatrical presentations. What other ways are movies distributed? (HINT: Distribution has nothing to do with how old a movie patron is.) What are the different price points? Using this information, draw a fully labeled graph of the market for movies in which the distributor of the film price discriminates. (NOTE: This should not be perfect price discrimination.)
In the Cutler, Glaeser and Shapiro paper entitled why have Americans become more obese? Name four testable implications that the proposed theory has for food consumption? and any solution for this problem?
Illustrate what whould be the appropriate elasticity to compute. Using the midpoint method, compute this elasticity.
Draw a hypothetical demand and supply curve for cyber cafes - coffee houses with computers hooked up to the Internet with access to daily newspapers (among other things) at each table. Show how demand or supply is affected by the following:
The market supply curve is the curve that summarizes:
Illustrate what do you think are the defining characters of a science. does the study of the economy have these characteristics.
A U-shaped average total cost curve implies what?:
Suppose that C (q) = 10q + 3,500,000 (for which MC (q) = 10 ). Use Inverse Elasticity Pricing Rule in order to determine profit maximizing price and level of output for this firm. Is this firm able to earn a positive profit.
If government imposes a $5 specific tax to be collected from sellers, what is the price consumers will pay. Explain how much tax revenue is collected.
Gary has two children, Kevin and Dora. Each one consumes "yummiest" and nothing else. Gary loves both children equally.
Explain how is the cross elasticity theory used to empirically define economic markets.
Assume the farmer buys insurance that pays 3$ if it doesn't rain but costs 2$. Illustrate what is their consumption when it rains.
Suppose that you are in the short-run and the production function for your firm is given as: F(L,K)=K1/2L1/2 Also, in the short-run capital is fixed at K=16. You also know that the wage rate for workers is w=10, the price of capital r=20 and that the..
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