User Account

All Pages

Explain why this manager might nonetheless have a strong

Assignment Help Microeconomics
Reference no: EM13314688

Teletronics reported record profits of $100,000 last year and is on track to exceed those profits this year. Teletronics competes in a very competitive market where many of the firms are merging in an attempt to gain competitive advantages. Currently, the company’s top manager is compensated with a fixed salary that does not include any performance bonuses.

Explain why this manager might nonetheless have a strong incentive to maximize the firm’s profits.

Reference no: EM13314688

Questions Cloud

Find the equilibrium number of hours worked in this economy : Assume that Mf = Ma. Find the real wage that makes total labor supply and total labor demand exactly equal to each other (this is called, the equilibrium real wage). Find the equilibrium number of hours worked in this economy
Calculate each firm’s equilibrium output : The inverse market demand in a homogeneous-product Cournot duopoly is P = 100 – 2(Q1 + Q2) and costs are C1(Q1) = 12Q1 and C2(Q2) = 20Q2.
Bagels that would occur if it simply lowered the price : The Einstein Bagel Corp. offers a frequent buyer program whereby a consumer receives a stamp each time she purchases one dozen bagels for $5. After a consumer accrues 10 stamps, she receives one dozen bagels free.
What is the firm fixed cost at this level of output : The accompanying graph (top of next page) summarizes the demand and costs for a firm that operates in a perfectly competitive market.
Explain why this manager might nonetheless have a strong : Explain why this manager might nonetheless have a strong incentive to maximize the firm’s profits.
Consider now the decision problem of the agents : Consider now the decision problem of the agents. Let n denote the number of hours per month that an agent works. Write an equation relating n and l. Write the agents budget constraint. Express the budget constraint in terms of c and l. State the agen..
What level of q maximizes net benefits : Suppose that the total benefit and total cost from an activity are, respectively, given by the following equations: B(Q) = 150 + 28Q – 5Q2 and C(Q) = 100 + 8Q. (Note: MB(Q) = 28 – 10Q and MC(Q) = 8.)
Is it higher or lower than in the absence of the tax : Suppose that the Government introduces a labor tax: for each hour of labor hired, the firm needs to pay  to the Government. Find the new optimal demand for labor. Is it higher or lower than in the absence of the tax?
Consider an economy in which the labor market is competitive : Assume that the price of the consumption good (denote it by P) is exogenously given and equal to 2. Use W to denote the hourly nominal wage in the economy

Reviews

Write a Review

Microeconomics Questions & Answers

  Determining level of output and profit

Suppose a firm in the short run under perfect competition with P=250, TC=1,000 + 100Q + 2.5Q^2 , and MC=10+5Q-Find out the level of output that the firm needs to produce to maximize profits?

  Analyze impact of overestimated inflation rate on economy

many economists feel the inflation rate is overstated. Analyze the impact of the overestimated inflation rate on the economy; be sure to mention which groups benefit and which groups are hurt by the inaccurate estimate of inflation

  Determining linear programming-maximizing profits

A manufacturer of outdoor clothing makes wax jackets and trousers. Each jacket requires 1 hour to manufacture, whereas each pair of trousers takes 40 minutes.

  Government policies to increase expending on domestic items

Deep global recession might trigger changes in expending from imported items to domestically manufactured items. What are at least two policies that governments might implement to increase expending on domestic items.

  Why does the aggregate demand curve slope downward

Give at least three reasons and examples when addressing this question, using your text, the Online Library, and the Internet as resources. Identify an event that would shift the AD curve and which direction the AD curve will shift.

  How air conditioner market affected by unusually hot summer

Describe how the market for Alaskan king crab will be affected if, at the same time that medical reports confirm that suspected health benefits from consumption of Alaskan king crab meat, wages are increased for trawler men

  Discuss the implications of your analysis

The particular index that you will compare to the Thumbtack measure is Forbes-overall . You are to include your index along with the five X variables suggested by the authors of the report of the Thumbtack survey.

  What is allocative efficiency but not productive efficiency

At its profit-maximizing output, a pure nondiscriminating monopolist achieves: neither productive efficiency nor allocative efficiency. both productive efficiency and allocative efficiency. productive efficiency but not allocative efficiency.

  Create a demand schedule and a supply schedule

Analyze five reasons why demand for this product could shift and analyze five reasons why supply could shift.

  Determine how much tax revenue is generated by the tax

Determine how much tax revenue is generated by the tax and what the tax incidence on tax is on consumers and producers. need to indicate new price points and quantities.

  Effect on production possibility curve of new technology

A country with fixed quantities of resources is able to make any of the following combinations of bread and ovens.

  Solve for the equilibrium input price and final price

Reconsider the "double marginalization" model. Solve for the equilibrium input price and final price when there are N downstream firms compete in Cournot fashion.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd