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Your dad is always trying different get-rich schemes. You decline his offer to help with the production process or to work. However, you agree to help him market the product through his website. His initial plan to provide 15 percent discounts to people based on their hair color - blonde people get a discount on vanilla ice cream, red-headed people get a discount on cherry ice cream, What is your advice to your uncle? Will the discounts based on hair color help to increase his sales revenue? Should he try other types of discounts? If so, what sort of pricing program would help dad make some profits?
You own and operate a chain of restaurants throughout the Atlantic States, and you have been in this business for over 40 years. From your experience, you believe your current store size provides the lowest average total cost for business in your industry. In the past two years, a new entrant into your market has built very large restaurants that are roughly three- times the size of your stores. They charge prices that are comparable to your prices, but they are getting a lot of attention and taking some of your market share. If you are correct about the industry cost structure and the new entrant has built stores that are far too large, what do you think will happen in this market? Should you respond by increasing the size of your restaurants? Are there other thinks you should do?
(a) If two firms face the same wage and rental price of capital but spend different amounts on labor and capital, how do their isocost lines differ What happens to their isocost lines if the wage rate increases
Calculate the incremental profit electron control would earn by customizing its instruments and marketing directly to end user
1. Under the gold standard, there was penalty for running a payments deficit but no penalty for running a payments surplus.2.The Bretton Woods Agreement was intended, in part, to make adjustment more symmetric between deficit and surplus countries..
Consider a differentiated product market where the anticipated demand functions and the cost functions of two dominant firms are given below: X1 = 94 - P1 + 2P2, X2 = 66 + P1- 2 P2, and C (X1) = 2X1, C(X2) = 3X2, Obtain the price reaction functions..
In national income accounting, one compo- nent of investment is net changes in inventories. Last year's inventories are subtracted from this year's inventories to obtain a net change. Explain why net inventory increases are counted as part of GDP...
identify economic factors that affect the real gdp the unemployment rate the inflation rate and a key interest rate.
the director of marketing at vanguard corporation believes that sales of the companys bright side laundry detergent s
A consumer has a budget of $200 to spend on bowling (b) and tutoring sessions (t). Assume that each game of bowling costs $16 and each tutoring session costs $20. The consumer derives utility from tutoring sessions and bowling according to the utilit..
Using the regression results and the other computations from Assignment 1, determine the market structure in which the low-calorie frozen, microwavable food company operates.Use the Internet to research two (2) of the leading competitors in the low-c..
Include how the necessity of a good and the availability of substitutes affect the price elasticity of demand in case of gasoline as a commodity.
Use a graphical illustration to describe briefly what the influence on the market supply of labour
The Conduct of Monetary Policy
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