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The city government is losing millions of dollars on the system of mass transit (buses and subways). The government proposes to increase the fare of a ticket by 20% and they have asked your advice. You know that the price elasticity of demand for mass transit in the city is approximately equal to 0.75. What do you think of the proposal to increase the fare to raise revenue for the city? Be very brief and as specific as possible.
How much profit does each firm earn. Ignoring antitrust considerations, would it be profitable for your firm to merge with Fasten It If not, explain why not; if so, put together an offer that would permit you to profitably complete merger.
Smart Phone Market The smart phone market has been dominated by Apple, but recently the Droid has been able to leverage Google’s information services into market gains while Blackberry, known for its secure business oriented network, has attempted to..
This year your income from only two years investment was $25,000 and you have to wait for one more year to earn $45,000 and another two years for taking $90,000. If the interest rate was fixed at 13.i ii % per year compounded continuously, how much d..
q1. your employer asks you to calculate the present value for a project that will result in an immediate financial
A monopoly's demand curve is P = 200 – 3Q and its MC = $20. How many customers should this company serve? What is the price paid by each customer? What will be the company’s gross revenue in this venture?
What do the problems with the measurement of the Gross Domestic Product (GDP), Consumer Price Index (CPI) and unemployment rate statistics mean about the actual state of the economy as compared to what the statistics indicate. Is the country really d..
Q1. An accountant finds that the trial balance of his client did not tally and it showed an excess credit of Rs. 69.74. He transferred it to a suspense account and later discovered the following errors.
The true cost of monopoly power to society is attributable to: Natural monopolies are distinguished by. Price discrimination:
Imagine that you work for the maker of a leading brand of low calorie, frozen microwavable food that estimates the following demand equation for its product using date from 26 supermarkets around the country for the month of April.
The second question on the Fair Labor Standards Act involves the criteria that make a job EXEMPT and the criteria of jobs that are NON EXEMPT. What Along with this you need to include two examples of jobs that are exempt and two that are nonexempt an..
Net domestic product (NDP) typically only accounts for depreciation of physical capital. However, there are three broad types of capital: physical, human, and natural. Should depreciation of the other two types of capital also be counted? Explain, pr..
Why is the continuing income inequality in the US a problem for the economy? Does it matter that so many people own such a low percentage of total wealth in this country?
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