+1-415-670-9189
info@expertsmind.com
What should your pricing policy be to maximize profits
Course:- Econometrics
Reference No.:- EM13186834





Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Econometrics

You are the manager of a pizza parlor that produces at a marginal cost of $6 per pizza. The parlor is a local monopoly near campus (there are no other restaurants or food stores within 50 miles). During the day, only students eat at your restaurant. In the evening, while students are studying, faculty members eat there. If students have an elasticity of demand of -4 and the faculty have an elasticity of demand of -2, what should your pricing policy be to maximize profits?




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Econometrics) Materials
How might globalization and the growth of multinational corporations in the envirotech industry be a positive force for environmental protection in the countries of the worl
Assume that an individual consumes two goods, X and Y. The total utility (assumed measurable) of each good is independent of the rate of consumption of other good. The price
A machine that costs $1,500,000 has a 3-year life. It will generate after tax annual cash flows of $700,000 at the end of each year. It will be salvaged for $200,000 at the en
A frim determines that X units of its product can be sold daily at P dollars per units per day is C(x) =120-1/2p and where the cost of producing X units per day is C(X)=10+3
44 third grade students can be considered to be an SRS in asuburban school district with a sample mean of = 35.091. DPR scoresare approximately normal. Suppose the standard
Suppose that a monopolistically competitive firm must build a production facility in order to produce a product. The fixed cost of this facility is FC = $24. Also, the firm
If you pool all of the data and use OLS, what are you assuming about unobserved student characteristics that affect performance and attendance rate? What roles do SAT score
If the theater is open, the owners have to pay a fixed nightly amount of $500 to show a film. In addition, the movie house incurs an additional cost of two dollars for each