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If you sell items on ebay.com, you can conduct a traditional auction that lasts a specified amount of time, and the highest bid at the closing time is the winner. Alternatively, you can post a set purchase price for the item, and any buyer who is willing to pay that price can avoid the auction and purchase the item immediately. In order to attain the highest price from an auctioned item, what should we do? In particular, what are the trade-offs associated with including the immediate purchase option? How should you decide what the immediate purchase price should be for this auction?
How can we isolate the effect of a change in price on quantity to make sure that there is not a confusion between the law of demand and a shift in the demand
Explain your findings of the demand and supply microeconomics concept of Apple Inc. and the implications to their sustainability. Also, explain how it would be applied to the firm where you work or the type of firm you hope to work for in the futu..
Broadband technology refers to ___________.
The most you would be willing to pay for having a freshly washed car before going out on a date is $7. The smallest amount for which you would be willing to wash someone else’s car is $4. You are going out this evening and your car is dirty. How much..
A firm has the given isoquant for producing 100 units of output per hour. Given that labor costs a wage of $10 per hour and a unit of capital costs $20 per hour, identify the firm's optimal labor–capital choice to produce 100 units per hour. To do th..
Consider the problem of satisfying the demand for number 2 pencils faced by the campus store mentioned in problem number. Re-solve the problem, substituting a Type 2 service level criterion of 95 percent for the stock-out cost. Assume that Q is given..
At the end of the third quarter of 2015, the money supply in the U.S. was $2 trillion. That is, the available currency and deposits in the U.S. during July, August, and September 2015 was two trillion dollars. During the third quarter of 2015, which ..
Consider a market where the demand curve is P = 1 − Q , and where there are no production costs. Find the Cournot equilibrium level of output for each firm. Find the level of output that maximizes total profit in the market. If the firms split the ou..
What is the contract curve inside the Edgeworth box for two consumers “you” and “me”? In terms of overall welfare between two consumers, is it better to be on or off the contract curve. Why or why not?
What difference does it make how societal “development” or “progress” is measured? What difference might it make if the Genuine Progress Indicator (GPI) were to replace the Gross National Product or Gross Domestic Product (GNP or GDP) as the standard..
What would be the effect of the merger on the market's concentration ratio? On the HHI?
Elucidate the reason Explain why a competitive firm should stop producing immediately if the price is lower than the average variable cost.
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