Reference no: EM131386421
1. Suppose the demand for sunscreen (X) has been estimated to be ln Qx = 5 - 1.7 ln Px + 3 ln S - 3 ln Ay, where S denotes the average hours of sunshine per day and Ay represents the level of advertising for good Y.
a. What would be the impact on demand of a 5 percent increase in the daily amount of sunshine?
b. What would be the impact of a 10 percent reduction in the amount of advertising toward good Y?
c. What might be good Y in this example?
2. The demand for company X's product is given by Qx = 12 - 3Px + 4Py. Suppose good X sells for $3.00 per unit and good Y sells for $1.50 per unit.
a. Calculate the cross-price elasticity of demand between goods X and Y at the given prices.
b. Are goods X and Y substitutes or complements?
c. What is the own price elasticity of demand at these prices?
d. How would your answers to parts a and c change if the price of X dropped to $2.50 per unit?
3. Your firm's research department has estimated the elasticity of demand for toys to be -0.7. As the manager of a local chain of toy stores, determine the impact of an 8 percent increase in toy prices on your total revenues.
|
Draw the circuit by first constructing the inverter
: The logic circuit for an adder is shown in Fig. 35-5. Draw the circuit by first constructing the inverter and the AND gate as blocks. Use DONUT for the circuit connections.
|
|
Can lane compel honeycutt to return the boat
: Honeycutt also received a forged certificate for the boat, on which he had observed Garrett forge the purported owner's signature. Can Lane compel Honeycutt to return the boat, motor, and trailer? Explain.
|
|
Create a drawing using the symbol library
: After you have completed the library of symbols and details, begin a new drawing and insert the blocks. Create a drawing using the symbol library.
|
|
Who bears the risk for the loss of the home and why
: Moses also had not received keys to the front door. Before Newman corrected these problems, a windstorm destroyed the home. Who bears the risk for the loss of the home? Why?
|
|
Represents the level of advertising for good
: 1. Suppose the demand for sunscreen (X) has been estimated to be ln Qx = 5 - 1.7 ln Px + 3 ln S - 3 ln Ay, where S denotes the average hours of sunshine per day and Ay represents the level of advertising for good Y.
|
|
Can united recover the scales from jasper
: On September 22, Kentucky sold the scales to Clyde Jasper, individually, for $8,500. His search also failed to disclose any lien on the title to the scales, and he denied knowledge of the dispute between Consolidated and United. Can United recover..
|
|
Whether risk of loss passed from ninth street to harrison
: Harrison refused, contending that risk of loss remained with Ninth Street because of its refusal to deliver the merchandise to Harrison's place of business. Discuss whether the risk of loss passed from Ninth Street to Harrison.
|
|
Can florabelle recover damages from sadie
: Can Florabelle recover damages from Sadie, the proprietor of the dress shop, and Exotic Clothes, Inc., the manufacturer from which Sadie purchased the skirt? Explain.
|
|
Standard deviation of log of wages higher
: Suppose that wages per week in country A (a poor country) which consists of 4 people are $1, $8, $25 and $40, while in country B (a rich country), which also has 4 people, the wages are $120, $500, $1200 and $3500. Question: In which country is th..
|