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Discuss both the price elasticity of demand and the cross-price elasticity of demand conditions facing a firm in a monopolistically competitive industry. Include the role of advertising and the creation of brand loyalty.
Draw an accurate figure showing how the glass firm minimizes its cost of production. What is the equation of the (long-run) expansion path for a glass firm? Illustrate this path in a graph. Derive the long-run total cost curve equation as a function ..
Imagine that a "truth serum" existed that, when administered, would make everyone tell the pure, unedited truth in all situations. Discuss the pros and cons of such a product. (Are there times in which lying is necessary/acceptable? Or should it be a..
The percentage effect which increase in output will have on the profit made from producing and selling commodity Alpha will be.
Shirley thinks that two 8-ounce cans of soda are exactly as good as one 16-ounce can of soda. Suppose that these are the only sizes of soda available to her and that she has $30 to spend on soda. Write down Shirley's demand functions for general pric..
Compute the short- run and long- run results, explain the changes in the price and in the number of firms.
1. Who are the three best-known quality pioneers? Describe and then compare their individual contributions to quality. 2. Look through the ITT Tech Virtual Library and identify a major company that adopted one or more of the pioneers' strategies. Sug..
Why are companies using more technology input while reducing labour input. Why are Average Cost Curves U-shaped. Illustrate what is Law of Diminishing Returns.
Suppose you are considering starting your own consulting firm. You estimate if that if you did not start the firm, your starting salary at a job would be $40,000/yr. The revenues from this firm are expected to be $1,500,000. Determine the pre-tax acc..
How does the demand curve faced by a purely monopolistic seller differ from that confronting a purely competitive firm? Why does it differ? Of what significance is the difference? Why is the pure monopolist's demand curve not perfectly inelastic?
The FED is facing a problem of unemployment. What policy should be used? How would each of the tools at the FED’s disposal be used? If a student deposits a $600 tax refund and the required reserve ratio changes to .2, then how much additional money c..
Which of the following statements correctly defines a demand curve?
In general, how would a capital budgeting constraint on the available amount of investment funds influence these decisions? How would differing levels of project risk influence these decisions?
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