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Q. Calculate Max's marginal utility from windsurfing at each number of hours per day. Does Max's marginal utility from windsurfing obey the principle of diminishing marginal utility?
Calculate Max's marginal utility from snorkeling at each number of hours per day. Does Max's marginal utility from snorkeling obey the principle of diminishing marginal utility?
Which does Max enjoy more: his 6th hour of windsurfing or his 6th hour of snorkeling?
a) Banks only accept coins for deposit if they are rolled inspecified amounts. Pennies, for example, are to be in rolls of 50. A Canadian bank has checked the 200 rolls of pennies they have on hand. Only 12 of the rolls contained all Canadian pennies: the rest all had at least one American penny. Altogetherin 200 rolls, about how many American pennies are there?
b) What is the median number of American pennies in a roll?
Assume that the industry wants to expand and has to make some long-term capital budgeting decisions. Now the industry is confronted with government regulations to oversee the merger.
Air transport for businesspeople and tourists
MMM expects to generate $60,000 in earnings that will be retained for reinvestment in the firm this year.
A competitive firm that is profit maximizing pays a wage. The firm has started marketing its new product.
What is the confidence interval for the proportion of households represented at a town meeting. Survey of households in a small town showed that in 850 of 1,200 sampled households.
Provide a rational for why you feel the new target market and pricing strategy would be successful and the likely impact to the profitability of the firm.
Challenge of any merger that raises the HHI by 100+ points in a market where the HHI is above 1800 before the merger.
Suppose she is offered a new job that would pay her $15,000 and would bring her earnings high enough so that she no longer qualified for any welfare benefits.
What are the factors that affect pay differentials? How does each factor increase or decrease relative wages?
Explain what occurs when a new technology makes another one obsolete in terms of economic profit.
If the government uses a tax to get producers to internalize their externality, what is the net price received by producers.
Determine the quantity demanded, the quantity supplied, and the magnitude
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