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Assume you are the plant manager for Crossroads Sign Company, which produces road signs in a market that approximates perfect competition. Due to a slow economy, business has been slow and the company is losing money every month. The owners have asked you whether to continue operations or to shut down at least until the economy improves. You have the following information available:Marginal Revenue (MR) = $130Total Cost (TC) = $1,100 + 135Q + 0.6Q2Marginal Cost (MC) = 135 + 1.2Q
As the plant manager, should you recommend to the owners that the plant be shut down for a while? Justify your answer using at least two analytical techniques and presenting the information graphically.
If the government wanted to encourage a monopoly to produce the socially efficient quantity, should it use a per unit tax or a per unity subsidy?
What is the difference between an investment center and a profit center? What factors should Jameson consider in deciding whether to evaluate Bright Ideas as a profit or investment center?
Create a crisis action plan and compose a positive reply to send to Mr. Ward to handle this bad news situation.
Identify background information of why you chose the particular organisation as it relates to your understanding of managing energy sources
Estimate the coefficients of the demand model for the data given above. Provide an economic interpretation for each of the coefficients in the estimated demand equation you have compuated.
A case study states that the concession stand accounts for well over half the profits at most theaters. Determine, what are the benefits of staggered movie times allowed through multiple screens?
A monopolist produces a single homogeneous good, which he sells in two marketplace between which discrimination is possible. His total cost function is;
Describe any two causes of economies of scale or diseconomies of scale. How is the U shape of long run ATC different from U shape of the short run ATC
In what ways can interventionist industrial policy work with the market, rather than against it? What are the arguments for and against such policy?
An increase in the wages for workers (as the industry responds to increases in benefits and adjustments as the minimum wage increases.
1. What effects will the following have on the equilibrium rate of interest? (You should consider which way the demand and supply curves of money shift.)(a) Banks find that they have a higher liquidity ratio than they need.(b) A rise in incomes.(c) A..
Do you think the interest on payday is too high or just right? Should christians charge poor people interest on loans?
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