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You have been hired by Nobody State University (NSU) as a consultant to help the university with how to increase their total revenue. The university has been struggling in recent years, so they have hired you to help them in their last attempt to find an appropriate solution so that the university can survive. Raise or Lower Tuition? Suppose that, in an attempt to raise more revenue, Nobody State University increases its tuition. Assess a raise in tuition and if it will necessarily result in more revenue. Describe the conditions under which revenue will (a) rise, (b) fall, or (c) remain the same. Explain the process of revenue at NSU, focusing on the relationship between the increased revenue from students enrolling at NSU despite the higher tuition and the lost revenue from possible lower enrolment. If the true price elasticity were (-1.2), discuss what you would suggest the university do to expand revenue. Using what you have learned in this course, explain how you would resolve this problem if you were the President of NSU.
(Long-Run Industry Supply) Why does the long-run industry supply curve for an increasing-cost industry slope upward? What causes the increasing costs in an increasing-cost industry? What are the major characteristics of perfectly competitive market? ..
The interest rate generally considered to be the best indicator of day-to-day money market conditions and the one most directly monitored/targeted by the Fed is:
Some customers may have Costco membership cards. How do you think their elasticity of demand for renting cars (for a week) would compare to that of non-Costco members? Depending on your response, would it then be worthwhile to offer discounts on the ..
If the university's school of engineering can earn 4% on it's investments, how much should be in it's savings account to fund one $5000 scholarship each year for 10 years?
q1. mary kay ash was one of the first individuals who sold cosmetics directly to customers via independent sales
Since the uninsured and lower income population generally tend to be less healthy than those who are better off financially, an insurance plan for the less-healthy would not be a good business venture. What is the best way to provide health insurance..
The moral hazard is the degree of risk that the insurance company is taking in order to provide coverage on the individual.
Constrained Optimization in Economics 2. Minimize costs for a firm with a cost function Subject to the production quota
Do you know which states have the highest unemployment rate right now? As businesses are downsizing in the recession, they are laying off a lot of people. What type of unemployment will then occur?
Calculate the profit maximizing cost per unit if COST MART has an average wholesale cost of $350 as well as incurs marginal selling cost of $100 per unit
What sets the boundaries for trade? Globalization, comparative advantage, absolute advantage, or opportunity cost?
With the help of a diagram show how home will benefit from trade according to the Ricardian Model. In your diagram, clearly mark the point of production and consumption before and after trade, mark the amount of import or export.
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