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A city needs to choose area rubbish disposal areas. Area A: A gravel pit has a capacity of 16 million cubic meter. Owing to the possibility of high groundwater the Regional Water Pollution Control Board has restricted the lower 2 million cubic meters of fill to inert material only (earth, concrete, asphalt, paving, brick, etc.). This must be purchased and hauled to this area for the bottom fill. Area B: Capacity is 14 million cubic meters. For 20% of the city, the haul is the same distance as for Area A. The round-trip haul is 5 miles longer for 60% of the city, and 2 miles shorter for 20% of the city. Assume the following conditions • Cost of inert material placed in Area A will be $9.40/m3 • Average sped of trucks from last pickup to disposal site is 25 miles per hour • The rubbish truck and a two-man crew will cost $210 per hour • Truck capacity of 4 ½ tons per load or 20 m3 • Sufficient cover material is available at all areas Which of the sites do you recommend?
Consider the following information about the Stark Industries, a monopolist in the market ofiron men. Suppose the demand curve is QD = 30 − P/4. Suppose further that the cost function isTC(Q) = Q2 + 3Q.(a) Determine the pro?t maximizing output, price..
Consider fines for speeding. Assume that speeders can drive at either 75 mph or 90 mph (the speed limit is 65 mph), and that the probability of being caught at either speed is .01. Also, assume that the maximum possible fine is $10,000, which is set ..
Construct a response to the Federal Reserve actions aimed at lowering long-term interest rates
Flawed reasoning. Identify the flaw in reasoning in the following scenarios. Explain what the individuals in the study should have done differently if they wanted to make such strong conclusions. Based on these results, the school officials conclude ..
Economic growth has slowed in the last quarter of the year to 0.6% from the previous third quarter growth rate of 4.9%. The economy lost 12,000 jobs in the last month of the previous year while shedding 80,000 jobs during the months of January and Fe..
Explain how the velocity of money is likely to change when the following stabilization policies are undertaken. How will this change in velocity affect the impact of the stabilization policy?
Why will Open Table competitors have a difficult time competing against Open-Table? What characteristics of the restaurant market make it difficult for a reservation system to work? How did Open Table change its marketing strategy to succeed?
The chapter argues that investment depends negatively on the interest rate because an increase in the cost of borrowing discourages investment. However, firms often finance their investment projects using their own funds. If a firm is considering its..
The measured union wage differential will most likely understate the true amount by which unions are able to raise hourly compensation if which one of the following is not controlled for?
The price of pizza can be expressed in terms of gallons of root beer. What is the highest price at which pizza can be traded that would make both roommates better off? What is the lowest price? Explain.
Elucidate wether each of the following evens shifts the short-run aggregare supply curve, the aggragate demand curve both or neither.
Calculate the price elasticity of demand using the point formula for Px = 20 and Py = 10. Determine whether demand is elastic, inelastic, or unit elastic with respect to its own price and whether Good Y is a substitute or a complement with respect..
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