What suggestions do you have for your client in regard to

Assignment Help Macroeconomics
Reference no: EM13338329

Suppose you have been hired as an economic consultant to increase your client's sales revenue, and you discover that your client's customers are price inelastic. What suggestions do you have for your client in regard to using changes in your client's price to achieve this objective?

Reference no: EM13338329

Questions Cloud

By how much would a proposed merger between the two smallest : By how much would a proposed merger between the two smallest touch screen makers increase the Herfindahl index? Would the government be likely to challenge that proposed merger?
Monopoly manufacture and monopoly retailer merge : Suppose a monopoly manufacturer sells directly to a monopoly retailer. What are the implications in regard to price, output, and profits as compared to the case where the monopoly manufacture and monopoly retailer merge? Explain why
Economic theory states that as more firms enter : Economic theory states that as more firms enter, prices, output and profits per firm decrease. Use the n-firm Cournot model to explain why this occurs
What are the shut-down and break-even points for the firm : There are 100 firms in the market. Market demand is Qd = 500-Pmkt What are the shut-down and break-even points for the firm?
What suggestions do you have for your client in regard to : Suppose you have been hired as an economic consultant to increase your client's sales revenue, and you discover that your client's customers are price inelastic. What suggestions do you have for your client in regard to using changes in your client's..
Why would each firm not increase its output given : In the Cournot homogeneous oligopoly model, why would each firm not increase its output given both firms are choosing the Nash Equilibrium?
The bertrand and cournot oligopoly models differ with regard : The Bertrand and Cournot oligopoly models differ with regard to whether they compete on price of quantity. The profits from each strategy are significantly different. Why?
How much do you expect your revenue to be : On average, how much do you expect your revenue to be? Your accounting profit? Your economic profit? Will you quit your job and try your hand at being an entrepreneur?
What must the spot rate be right now : You believe the yen will increase in value by 4% against the dollar in one year. If you think the spot exchange rate in one year will be 120 yen to the dollar, what must the spot rate be right now?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Provide examples of the automatic stabilizers

Analyze the contribution that automatic stabilizers play in making a stable economy. Provide some examples of the automatic stabilizers and use them to illustrate their significance.

  Draw the short run phillips curve

What is the growth rate of nominal GDP in the economy?An adverse supply shock raises the inflation rate associated with every output ratio by 3 percentage points. Draw the new short-run Phillips Curve.

  Computing additional funds needed

Sales for year just ended were $500, and fixed assets were used at 80% of capacity. Current assets and accounts payable vary directly with sales.

  Discuss the conditions that characterize pure competition

Discuss the conditions that characterize pure competition (a price taker market) and explain how and why price takers maximize profits at the quantity for which marginal cost, price, and marginal revenue are equal.

  Elucidate whether you would draw an aggregate demand

Elucidate whether you would draw an aggregate demand or aggregate supply diagram and predict what shift each situation would cause.

  Explain how many hours of labor should xyz

Explain how many hours of labor should XYZ hire each day to maximize its profits.

  Price floor would lead to surplus in the market

When the demand line is perfectly elastic, there is no deadweight loss after taxation and firms must not operate if the market price is less than ‘break-even' price.

  Compute the percentage increase in real gdp per person

Use the data on U.S. real GDP below to compute real GDP per person for each year. Then use these numbers to compute the percentage increase in real GDP per person from 1987 to 2005. Year REAL GDP (2000 prices) population 1987 $6,435,000 million..

  Describe how globalization impacts the capital budgeting

Describe how globalization impacts the capital budgeting decisions of multinational firms? Be sure to carefully explain your reasoning.

  Expalin how the actions of a mine operator can spend

Expalin how the actions of a mine operator can spend $5 million to free a trapped miner.

  Find the firm''s optimal quantity-price and profit

Find the firm's optimal quantity, price, and profit (1) by using the profit and marginal profit equations and (2) by setting MR equal to MC. Also provide a graph of MR and MC. b) Suppose instead that the firm can sell any and all of its output at ..

  What factors led to the mortgage default crisis

What factors led to the mortgage default crisis How did mortgage defaults affect banks involved in mortgage lending and mortgage investing Securitization TARP What do these mean

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd