Draw the demand for garbage

Assignment Help Business Management
Reference no: EM131218542

1. Consider the problem of too much garbage in the US.  In Albert's home town, the demand for garbage collection per bag is qd = 2000 - 100p.  It costs the city $2 for each bag it picks up (MC = $2).  However, the town does not charge its residents for each bag picked up. The price a resident sees is $0 for each bag.  The service is paid through city property tax (i.e., people do pay for it).

a. Draw the demand for garbage (include the MC of the service).

b. How many units of garbage are collected?

1. What is the total value of the service and the value of the bag thrown out with the lowest value?

2. How much does the service cost the city (and hence the users)?  What is the consumer surplus?

c. Now instead the city charges $2 per bag collected.  (Cities that do this are often criticized for charging for something that was "free" before.)  How does the price increase affect the amount of garbage collected?  Is this good?    

1. With p = $2, what is the total value of this service and the value of the unit with the lowest value provided?  What is the total cost of this service? 

2. What is the consumer surplus?  Are the citizens (as a whole) better off?

Reference no: EM131218542

Questions Cloud

Determine what the ordering cost : Given an annual demand of 250, a carrying cost of $1, and an order quantity of 150, Cotteleer Electronics must determine what the ordering cost would have to be for the order policy of 150 units to be optimal.
Write a persuasive letter : write a Persuasive Letter. - The letter needs to be aboutan issue that is of concern to you, about which you have strong opinions and feelings.
Explain how voter turnout is measured : Describe the characteristics and functions of American political parties.
Describe why use of deception can be considered acceptable : Describe why the use of deception can be considered acceptable while some of the classic research methods are not. Provide examples when applicable. 250 words
Draw the demand for garbage : a. Draw the demand for garbage (include the MC of the service). b. How many units of garbage are collected? 1. What is the total value of the service and the value of the bag thrown out with the lowest value?
Why principles-based standard require a conceptual framework : Explain why principles-based standards require a conceptual framework. What you think is the fundamental problem with financial statements based upon the historic cost measurement principle used under US GAAP ? The article states that the US standard..
Distinction between explicit and implicit costs : 1. Explain why the enrollment in colleges and universities increases at times of economic recession. Make a distinction between explicit and implicit costs in your explanation
What maria did was so simple : What Maria did was so simple, yet her example is not common in our business, no matter what sector you are exposed to. If you were the manager overseeing Maria's room service department, how would you motivate the rest of the room service team to ..
What stores are in your town and what are your favorite : What restaurants are in your town? which are your favorite? What stores are in your town. what are your favorite? What restaurant or store do you wish was in your town but isn't there?

Reviews

Write a Review

Business Management Questions & Answers

  Fairness between auditors and companies

Practicing professionals should place the public interest above the interests of clients, particularly when participating in a procedure created to develop standards expected to obtain fair presentation.

  What you consider to be your own leadership style

Show the various strategies and interventions that you have found successful in motivating and influencing people to accomplish certain goals.

  Describing entrepreneurial culture

An entrepreneurial culture is one in which search for venture opportunities permeates every part of the organization.

  What is the molar concentration

Carbonated cola is more acidic than coffee or even orange juice because cola contains phosphoric acid. What is the molar concentration of H3O+ in a cola that has a pH of 4.240?

  Fundamental differences between html and xhtml

Analyze and identify 2-fundamental differences between HTML and XHTML with some examples and explain at least two HTML tags that are not valid in XHTML.

  Discuss the distinguishing features

1. Discuss the distinguishing features (Market size, Market growth rate, Industry strength, etc.) of the industry.2. Discuss the competition within the industry. Who are the main players? How intense is the rivalry? How attractive is the industry..

  Discuss the strategies for overcoming diversity barriers

Explain and give examples of each of the four combinations of prejudice and discrimination.

  Analyze both the scanning methodology that you could use

Analyze both the scanning methodology that you could use and the countermeasures that a company or organization could use in order to thwart such scanning attempts.

  Explain qualitative measurement

Describe qualitative measurement as it relates to your job and personal experience.

  Recommend a main objective that should be included in an hr

Recommend a main objective that should be included in an HR policy to help ensure the existence of a work environment that protects employees from situations involving harassment

  Kentucky teacher retirement system

You manage a portfolio of bonds for the Kentucky Teacher Retirement System. Bonds range in quality from BB to AAA. Coupons range from zero to 8.25%. The average maturity of all bonds in the portfolio is 18.5 years.

  Business of leasing commercial billboards

Max, Inc., a company in the business of leasing commercial billboards to advertisers, and the primary billboard provider in City, sued City alleging the zoning ordinance is unconstitutional.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd