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The Rusty Anchor Bar has 2 types of patrons: legal and underage drinkers. Even though it is illegal to allow entry to underage drinkers, there is no perfect way to identify underage drinkers since they often use fake identification cards. The penalty for serving underage drinkers is severe - the bar could lose its license. Assume the bar's MC = $3 per drink and the nightly drink demand curve is given by P(legal)=5-Q(legal) and P(underage)=3.5-Q(underage).1) Design a two-part tariff (pricing) structure that would get the max nightly profit from each LEGAL drinker. The two-part pricing would include a cover charge plus a charge for each drink.2) Under the two-part tariff, will Underage drinkers attempt to come the bar? Why or why not?
Illustrate what effect do you think it had on learning by the industry as a whole. What factors might explain these patterns.
The intent of this week exercise is to familiarize with EXCEL and to gain experience and practice in interpreting the output generated by most statistical packages (EXCEL) when linear regressions are run on a set of data.
Illustrate what fiscal policies are needed to fight unemployment
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Why would you expect the inflation rate to accelerate if the actual unemployment rate declined to a level lower than.
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Attorneys for Eastman Kodak argued in front of the U.S. Supreme Court to defend the company against charges levied by several independent firms that provide service for machine sold by Eastman Kodak.
In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?
Illustrate what happens to the dollar price of the dinar. Does the dinar appreciate or depreciate relative to the dollar.
Show that leisure must be a normal good for the labour supply function to be downward sloping.
Say if the following statement is true or false and why-Exports depend only on the demand of foreign countries for our products and therefore our exporting
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