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Air Express, an overnight mail carrier, provides one flight per day from Portland, Maine to Hawaii. Currently Air Express flights have been operating at 80% capacity (maximum capacity 400 pounds). Therefore each flight has the potential to carry 80 additional pounds of mail. You have been retained by Express to provide them with the lowest price per pound they could charge for each of the 80 pounds of unused capacity without reducing their current level of profits. You are also asked to determine their current profit per pound? State your answers per pound. Your analysis, to date, has shown the following:
P = 82 - .25q (demand equation) where P is the price Express charges to deliver a pound of mail and q represents a pound of mail.
TC = .00025q2 +q + 300
MC = .0005q + 1
MR = 82 - .5q
If you used the uncompensated demand curve to calculate the change in consumer surplus, would your calculation be too high or too low?I. Provide a graph showing the initial outcome, the outcome after price change, the income effect, the substituti..
If the price of blue toy cars is $5 and the price of pink toy cars is $2, then which of the following consumers will make the same choices if their income is the same (assuming maximization of income) Gloria, utility is U(b,p) = b^2 * p
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How do you interpret the effect of immigrant status on wages when the model is Log wages regressed on immigrant dummy, and an immigrant dummy interaction
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Examine and interpret information trends over the most recent 3-year period to evaluate the economy and Canada's current economic status.
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Compute the discount factor 1/(1+r)^t for r=1, 5, or 10 perent interest rates and t=30 and 50 years. remember that 1 percent is .01. based on your computation, is teh choice of discount factor important for deciding whether to do somehtinga bout..
Determine what is the state of the economy in brazil versus the united states and discuss the GDP of brazil and the united states?
Clean Supreme is a corporation that produces and sells powdered laundry detergent in the U.S. The company has estimated the following regression equation for the demand of its Brand Z detergent:
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Suppose that we randomly select a recent graduate of the University of Virginia graduate school of business. This school has a recruiter assessment score of 4.1 and an out- of- state tuition and fees of $ 43,000. Predict the average starting salar..
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