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Assume that the income of consumers changes by 10%, and as a result the quantity demanded for Good A changes by 8%. What is the income elasticity of demand for Good A? What does this mean for your company? Assume that the price of competing Good B decreases by 5% and as a result, the quantity demand for Good A decreases by 8%. What is the cross-price elasticity for your product? What type of goods are Good A and Good B?
Why would your company have bid with a zero mark-up on some past tenders? Why didn’t it win all of those contracts?
Utilize this expression to derive the potential bounds for the income elasticity of other goods.
Assume the cost of a can was $5.10. In this case, to maximize its profit the firm illustrated in the figure above would
Illustrate what matters is not the absolute abundance of factors, but their relative abundance. Poor countries have an abundance of labor relative to capital when compared to more developed countries.
Compute how many acres, hectares each person wold occupy if all U.S. residents.
Neither firm can choose which cell of the payoff matrix to obtain; the payoff for every firm depends upon the pricing strategies of both firms.
A committee of 4 has to be chosen from 12 representatives, of whom 8 are men and 4 are women. If selection is random what is the probability that.
Call P the unit price of each stamp and find out how many stamps and how many photocopies the firms purchase depending on the value of P.
Assume that there are 10 million workers in Canada also that each of these workers can manufacture
Illustrate what is the most effective process of decreasing the quantity of drugs consumed and decreasing the amount of drug-related crime.
How to interpret estimated coefficient and How to count tendency ratio between one category of certain independent to or category.
Again, thinking in terms of marginal propensity to consume, under what circumstances would your tax proposal increase total consumption spending? What other policies could be enacted to increase total consumption spending?
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