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A bar offers female patrons a lower price for a drink than male patrons. The bar will maximize profits by selling a total of 200 drinks (a night). At the current prices, male customers buy 150 drinks, while female customers buy 50 drinks. At this allocation between markets, the marginal revenue from the last drink sold to a female customer is $0.50. What should the bar do about its pricing? If the bar sells 151 drinks to males and 49 to females, what will be the increase (decrease) in total revenue?
You put money into an account. One year later you see that you have 5 percent more dollars and that your money will buy 6 percent more goods.
In discussing the distribution of income among families, the term “lowest fifth” indicates. Which of the following has not been outsourced from the U.S.? Frictional unemployment is caused primarily by automation. Unemployment caused by an imbalance b..
Globalization has had a significant impact on the world economy and the economy of the United States. Using economic principles, describe how globalization has affected positively and negatively the economy of the United States.
The market for good X is perfectly competitive. The demand and supply functions of good X are given as follows: Demand: Qd = 6000 – 30 P Supply: Qs = –500 + 20 P Qd is quantity demanded in thousand units, Qs is quantity supplied in thousand units, an..
One advantage of dividend reinvestment plans is that they allow shareholders to avoid paying taxes on the dividends that they choose to reinvest.
Communicate how the potential payer mix relates economically to changing demographics in your given community. What potential solutions would you suggest to your director that might overcome the demographic shift? Analyze economic theories that are g..
q. market structure problem the widget industrythe widget industry is perfectly competitive. the lowest point on the
Apple feels it is a price leader in the mobile phone market with all the other producers acting as followers. The total demand for mobile phones is given as, If Apple wants to maximize profits, how many mobile phone units should they produce? How muc..
What fraction x of your money should you invest in risky asset in order to maximize your utility. What happens if A is large.
Draw an example of a monopoly with a linear demand curve and a constant marginal cost curve. Show the profit-maximizing price and output, p* and Q*, and identify the areas of consumer surplus, producer surplus, and deadweight loss. Also show the qua..
We observe that the equilibrium price of turkey meatball rises but the equilibrium quantity of beef meatball drops. Assume that turkey meatball and beef meatball are substitutes. Also note that turkey and turkey meatball are two different objects. A ..
A large food-processing corporation is considering using laser technology to speed up and eliminate waste in the potato-peeling process. To implement the system, the company anticipates needing to purchase the industrial-strength lasers.
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