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Think about the demand for the three popular game consoles: XBox, PS3, and Wii. In each of the scenarios below, briefly describe the effect on (a) the demand for XBox games and (b) the quantity of XBox games demanded
The price of an XBox falls?
The prices of a PS3 and a Wii fall?
The number of people writing and producing XBox games increases?
Consumers’ incomes increase?
Programmers who write code for XBox games become more costly to hire?
The price of an XBox game is expected to fall?
The government of Mass. decides to impose a tax of $0.75 per gallon on gasoline suppliers in order to fund highway maintenance. Calculate how much revenue is collected by Mass. government? Who bears the greater burden of this tax, consumers or produc..
Subjective definition of probability is:Select one:A. a weighted average of different peoples' degrees of certainty of an event's occurringB. a theoretical probability distributionC. a person's degree of certainty of an event's occurringD. an expecte..
Warranties and service agreements play an important role in communicating a company’s willingness to stand behind its products. Research the warranty coverage and how well the Harley dealership network stands behind the product. How do the warranty c..
Why the government now levies a tax on this good of 200$ per unit. Is this a good policy or why not. Can you propose a better policy
with monetary policy for closed, it is hard for authorities to stimulate demand. Interior design does this show that currency-board regime was a mistake.
Panic in paradise: Are high fares the new reality for Hawaii? On March 31, 2008, Hawaii lost 15 percent of its air service as Aloha Airlines and the cheap-flight airline ATA suddenly shut down. Under what conditions the $1,000 fare would be considere..
Illustrate what does the evolution of Coke's strategy tell you about the convergence of consumer tastes and preferences.
During the recent 2007-2009 economic contraction, nominal interest rates fell to nearly 0% while the rate of inflation remained positive. What happened to the real interest rate? How would this movement in the real interest rate affect decisions to s..
Crepe Creations is considering franchising its unique brand of crepes to stall-holders on Hermoza Beach, which is five miles long. CC estimates that on an average day there are 1,000 sunbathers evenly spread along the beach and that each sunbather wi..
Suppose that demand for rollerblades is given by D(p) = A ? p. The cost function for all firms is C(y) = wy2 + f , where f is a fixed set-up cost. The marginal cost of production is MC(y) = 2wy. Assume that the industry is perfectly competitive. Find..
Evaluate the relative importance of economies of scale and comparative advantage in causing the following.
Let's assume you want to open one of the following new businesses. What form of business ownership would you choose for each business? Why?
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