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One method of price discrimination for firms is the use of coupons and rebates. Firms are basically allowing consumers to self-identify their respective price elasticities of demand for a product. Describe the last time you used a coupon or a rebate, and another time where you knew a coupon might be available and yet chose to not bother with it. Make sure to explain how the opportunity cost of your time and effort played a part in the choice you made.
Do you think price discrimination through coupons is fair? Should there be laws against this behavior? Why or why not?
During late December 2008 Company A acquires a small competitor, Company B. During the evaluation of the acquisition it is determined that the customer lists of Company B have a fair value of $50,000. Company A has spent $15,000 during the year up..
Would it be possible to privatize the money supply in the United States completely? In doing so, what would be the primary obstacle to overcome in implementing such a policy?
Is demand for movie tickets elastic or inelastic? What is the change in the total revenue from the sale of movie tickets.
Assume government imposed a minimum wage above what otherwise would be equilibrium wage rate for the segment of labor market.
Robinson Crusoe receives utility from eating coconuts and fish. His utility function is U(C, F) = C + F, where C is units of coconuts and F is units of fish. If the price of coconuts is $10 and the price of fish is $1, what can you say about the b..
An industry consists of three firms with sales of $230,000, $760,000, and $200,000. a. Calculate the Herfindahl-Hirschman index (HHI). Instruction: Round to the nearest integer.
Consider the production function Q = K0.5L0.5 where K is capital and L is labor. Suppose capital is fixed at 400 in the short-run. What is the average product of labor, APL?
Discuss economic theory related to the quote above. Be sure to include a definition of Labor Force Participation Rate (LFPR) within your discussion.
Briefly explain the three major decisions every Manager has to take while performing the finance function.
Assume for a perfectly competitive firm that MC = AVC at $12, MC = ATC at $20, and MC = MR at $16. On the basis of this information, the firm should not be in production. Do you agree?
Elucidate why is it that market leaders and monopolies generally acquire rather than develop new technology.
Coimpute how much the shortage or surplus is if there is any.
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