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An article in the New York Times notes that classic rock star Tom Petty likes to perform in smaller venues that don't have as many seats as large venues such as Madison Square Garden in New York. According to the article, Petty insists that tickets to his concert be sold "below market price." The author of the article wondered why "Petty and his promoter would price tickets so low when there were clearly people willing to pay much, much more."
a. How does the author know that the prices for Petty's concert tickets are below the market price?
b. Why might Petty and his manager want tickets to have prices below the market price?
A batch of 10000 steel bars has been manufactured. The mass of those bars varies according to the normal distribution with a mean of 5.3 kg and a standard deviation of 0.2 kg. Specifications call for the bars to have a mass of between 5.0 kg and 5.6 ..
Calculate the marginal propensity to consume (mpc) and then the multiplier in this economy.
The real risk-free rate of return has been estimated to be 2 percent under current economic conditions. The 30-day risk-free rate (annualized) is 5 percent. Twenty-year U.S. government bonds currently yield 8 percent.
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In the short run, the firm has a fixed amount of capital, K = 9. Create a spreadsheet to model this production setting. Determine the firm's profit-maximizing employment of labor. Use the spreadsheet to probe the solution by hand before using your..
Show that an efficient standard would lower TSC and increase total net benefits.
Assume the government sets a uniform standard for winter and summer at A = 500. Support or refute this policy based on the criterion of allocative efficiency, using your model to explain your response.where A is the level of CO abatement
Calculate the extra output due to the water project and calculate the annual output of the village if the water project would be installed in $s
Course, if we buy from one place, then obviously we don't buy from some other place. Is that some kind of disadvantage? Or is that what we want to happen (more choices)?
What factors can cause an increase in the expected future exchange rate?
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