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A concert organizer is preparing for the arrival of the Grateful Living band in his small town. He knows he has two types of concert goers: one group of 40 people, each willing to spend $60 on the concert, and another group of 70 people, each willing to spend $40. His total costs are purely fixed at $3,500.
(a) Draw the market demand curve faced by this monopolist.
(b) Draw the MR and MC curves.
(c) With two-price discrimination what will be the monopolist's profit?
(d) If he must charge a single price for all tickets can he make a profit?
After this change, the interest rate is found to be below the equilibrium interest rate. Describe the effect of this level of interest rate on the price of bonds, the need for cash balances, the opportunity cost for holding money.
The cost of pollution (in billions of dollars) originating in the paper industry is Cp = 2P + P2. Where P is the quantity of pollutants emitted (in thousands of tons). The cost of pollution control (in billions of dollars) for this industry is Cc ..
Suppose A through F constitute a set of feasible, mutually exclusive investment opportunities. Assume Do Nothing is not an option (i.e. must pick from A through B). Using (1) Present Worth, (2) Annual Worth (EAW), (3) Future Worth, (4) IRR, (5) B/..
You work on a doughnut farm--you grow doughnuts. In each period, you are able to grow 20 doughnuts. If you go to the coffee & doughnut exchange, you may buy and sell doughnuts for $1 each, and buy and sell coffee for $2 each.
the tricities bus company is a regional bus line providing transit service between coquitlam port moody and port
Predict gross benefits if admission is set at $1.00 and Dryville has marginal excess tax burden of 0.25. In answering this question, assume that the fees are used to reduce taxes that would otherwise have to be collected from the citizens of Dryvi..
Give the amount of the change in the equilibrium level of Real GDP due to a $6 increase in spending on goods and services by households. Give the amount of the change in the equilibrium level of Real GDP due to a $6 increase in spending on goods a..
What is a the opposite of a discrete random variable?
If the AD shortfall is $800 billion and the MPC is 0.8, (a) How large is the desired fiscal stimulus (b) How large an income tax cut is needed how much more government spending would achieve the target
were chosen at random, and the traffic lights of those intersections were modified. The numbers of minor accidents during a six-month period before and after the modifications were: NUMBER OF ACCIDENTS
Describe the role that networking can play in your professional life.
Find the new equilibrium interest rate (r). Graph the answers to b) and e) above and briefly explain the graph. Be sure to label the axes , curves, equilibrium interest rates, equilibrium levels of private investment, and national savings.
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