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Q. When McDonald's Corp. reduced price of its Big Mac by 75% if customers also purchased French fries and a soft drink, Wall Street Journal reported that company was hoping novel promotion would revive its US sales growth. It didn't. Within two weeks sales had fallen. Using your knowledge of game theory, illustrate what do you think disrupted McDonald's plans?
How much deadweight loss does Great Reception causes when it restricts output and charges a price above marginal cost.
describe how current economic conditions affect your organization or one with which you are familiar. Identify most important economic indicator affecting your organization and elucidate why.
All this is known to both players. Suppose both players behave according to the level-k thinking model discussed in class. Two players simultaneously guess a number.
compute the shares of lemon grass also troll labor in Hogwarts' income.
Given this information, evaluate the following statement: Airlines could have the same effect on demand by eliminating their frequent flyer programs and simply lowering the average ticket price by 10 percent.
Illustrate what do economists mean when they say that private goods tend to be produced in the right amounts.
Illustrate what effect does the current supply and currently demand have on this product.
If the nominal money supply is rs.200 and the price level is 1, (i) is the economy operating with inflationary or deflationary condition. (ii) Illustrate at what price level will there be simultaneous equilibrium in all markets.
What are the percentage rise in the price of food also in the price of clothing. What is the percentage rise in the CPI.
Explain why do cattle ranchers slaughtering a large number of newborn calves and burying them in mass graves rather than transporting them to markets.
Explain why would elasticity of demand be important to you in determining the products on which the taxes should be levied.
The people of Aquilonia deposited half of their currency into the banking system. If banks do not hold excess reserves
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