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Give an example based on your experience of a situation in which using a multiple regression model or nonlinear regression model may have helped you make a better decision.
Suppose the firms divide the market into two areas of equal size and assign each firm one of the areas. Each firm agrees to sell only in its assigned areas. Will the arrangement generate a successful cartel?
Using two-part pricing , what will be the entry (membership) fee? What will be the per-unit fee? Compute the profit earned from a typical consumer with two-part pricing. Hint: same as perfect price discrimination profit.
When the Macintosh computer was introduced in 1982, Apply made it difficult for third party software developers to develop software for the platform. In contrast, Apple made it relatively easy for third party developers to make applications that ran ..
Consider the following production function: f(k,l) = k^1/3 + l^1/3. Does an increase in the tax increase the cost linearly? Why or why not? HINT: Consider the partial derivative of the cost function with respect to t.
First-degree price discrimination
If betty produces nothing but good y, her output of good y is 20 units. She works 5 hours a day. Her opportunity cost of producing a unit of good x is 2. if betty specializes in the production of good x, what is her daily output of good x?
Is Deflation Good for Workers? Why or why not? Why do you think deflation can be bad for the economy? What is the impact of deflation on the economy and monetary policy?
Jason likes to buy guitars and trumpets. His marginal utility of guitars is given by MUG = (7T0.3)/(10G0.3) and his marginal utility for trumpets is given by MUT = (3G0.7)/(10T0.7), where G is the number of guitars Jason buys and T is the number of t..
Suppose you own a specialized auto parts manufacturer. You purchase and have installed a new machine to make a particular type of part. The price of the machine plus installation is $300,000. If you have already purchased the machine, should you go a..
Relative to Tom, does Dick require more bananas, less bananas, or the same number of bananas to give away an apple.
Complete a detailed industry analysis for the following 2 industries: Analyze the digital mobile device industry versus the defense industry in terms of
During the same time, total annual movie admissions have barely changed. What cost factors can explain this trend? In addition, what demand factors might be also be relevant?
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