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6. The owner of a small chain of gasoline stations in a large Midwestern town read an article in a trade publication stating that the own-price elasticity of demand for gasoline in the United States is -0.2. Because of this highly inelastic demand in the United States, he is thinking about raising prices to increase revenues and profits. Do you recommend this strategy based on the information he has obtained?
1. cold case inc. produces beverage containers used by fast food franchises. this is a perfectly competitive market.
the charlotte bobcats a professional basketball team has been offered the opportunity to purchase the contract of an
You purchased a new molding machine for $155,000 by trading in a similar machine that had a book value of $18,000. Assuming that the trade in allowance was $20,000 and that $85,000 cash was paid for the new asset, what is the cost basis of the ne..
budget sets and full price elasticitya suppose that marthas income is 40000 per year. she can spend it on health care
Why was/were the firm(s) investigated for antitrust behaviour? Identify some of the costs (pecuniary and non pecuniary) associated with the antitrust behaviour (firms having power in the market). Additionally, note the specific antitrust act (Clayton..
determine whether each of the following would cause a shift of the aggregate demand curve a shift of the aggregate
In 2007 the U.S. was faced with two events. At the beginning of 2007, oil prices more than doubled. A financial crisis hit the economy starting in August 2007 causing a reduction in consumer and business spending. These events led to a rise in th..
good aliens corporation we make good product we have good machines it is all good good aliens corporations a famous
In economics, when you plot cost and revenue on Price-Quantity axis, the profit maximization condition is when marginal cost is equal to marginal revenue. This is the crucial notion to understand.
If the price of a mouse pad is $7.00, describe the situation in the market. Explain how market equilibrium is restored. What is the market equilibrium if a fall in the price of a computer changes the quantity demanded of mouse pads by 20 a week at e..
Craft Unions Both industrial and craft unions attempt to raise their members' wages, but each goes about it differently. Explain the difference in approaches and describe the impact these differences have on excess quantity of labor supplied.
Country A has a population of 1,000, of whom 800 work 8 hours a day to make 128,000 final goods. Country B has a population of 2,000, of whom 1,800 work 6 hours a day to make 270,000 final goods.
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