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Q1. What are the most important things to consider when making a pricing decision for a good whose demand as well as is elastic? For one whose demand as well as is inelastic?
Q2. How would you advise the baker as to whether he should (a) employ four assistants on a Saturday; (b) extend his shop, thereby allowing more customers to be served on a Saturday morning?
What happens to the aggregate quantity demanded in nominal terms over this interval? Using the formula for price elasticity of demand what is the elasticity of aggregate demand over this interval?
In the former Soviet Union, producers were paid for meeting output targets, not for selling products. Under those circumstances.
Elucidate what economic, political, and cultural factors do HR managers need to consider when sending employees to work internationally.
Social Security and Medicare are in financial trouble. The money will run out for the future generations if something is not done shortly. In detail, explain how you would save both systems for the future generation.
Compute the revised slope of the AE cure and the multiplier when you know that the imports and the marginal tax rate
Some economists have suggested that the best way to control medical costs is to remove the profit incentive for health care providers, particularly hospitals.
If, in addition, currency deposit ratio(c) is 0.05 and excess reserve ratio (e) is 0.15, what is money multiplier. Explain why money multiplier differs from simple deposit multiplier.
Trade liberalization leads to a "race to the bottom" in environmental standards. Make the argument and counter-argument, present the following data;
Illustrate what might you consider to be your "fixed factor". Illustrate what alternative decisions might you be able to make in long run.
This marginal cost is the only cost associated with the product. Illustrate what are the profit-maximizing price also quantity. Illustrate what are your optimal price also quantity.
what output level should you operate to maximize profit? What price should you charge? How much will the industry as a whole produce?
Anticipate how technology will transform business in the future. Give specific examples to support your response.
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