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Suppose the marginal cost in the worked out problem below is MC= 1 + 0.01Q, where Q is the total number of tickets sold (equal to the sum of student tickets and other adult tickets). How would the answer to the problem change? What will happen to the student price under price discrimination if the demand of other adults increases to= 1,800 - 100P? Why?
Like supermarkets, full-service department stores like Macy's are generally in decline. What factors might these types of stores have in common behind their declines How would you determine which were important and which were not
Finance the expenditures with an equal increase in taxes and keep tax revenues constant and borrow the money from the public by issuing new government bonds
Two economists took a close look at a broad survey of more than 50,000 persons each year from 1987 to 1999. They found that drinkers do reduce their consumption substantially in economic downturns.
A binding minimum wage is expected to increase unemployment among minimum wage workers. Two years ago, the Congressional Budget Office recently issued its estimate of the effects of an increase of the minimum wage to just over $10/hour.
In the 1970s, the United States federal government created a Department of Energy. This is a time when the OPEC (Organization of Petroleum Exporting Countries) cartel first became prominent. Identify how this action might have impacted the three m..
Now what will your price be? How much deadweight loss will your firm created? After the election, you decide your firm is not making enough money. So you hire the lobbying firm C&E. C&E are able to convince regulators that you should set your pri..
Does the principle of "increasing opportunity cost" hold in this nation? Explain briefly.(Hint: What happens to the opportunity cost of bread-measured in the number of ovens-as bread production increases?)
If you could identify which the group to that each consumer belong to explain how would you go about setting prices.
The interest rate is tied to the economy. Based on your opinion, will the economy grow or recede for the rest of 2011 and 2012? Will the pace of growth (or recession) fast or slow? The current interest rate is very low. Do you think the interest rate..
Give a graphical representation of the trend in inflation and unemployment in terms of unemployment for the period 1983 - 2011. Comment outcome.
Explain the relationship between the price elasticity of demand and total revenue. What are the impacts of various forms of elasticities (elastic, inelastic, unit elastic, etc.) on business decisions and strategies to maximize profit?
A purely competitive firm finds that the market price for its product is $20. It has a fixed cost of $100 and a variable cost of $10 per unit for the first 50 units and then $25 per unit for all successive units. For each of the first 50 units, do..
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