What is the efficient number of concerts to offer each year

Assignment Help Econometrics
Reference no: EM131253725

A small town in Florida is considering hiring an orchestra to play in the park during the year. The music from the orchestra is nonrival and nonexclusive. A careful study of the town's music tastes reveals two types of individuals: music lovers and intense music lovers. If forced to pay for an outdoor concert, the demand curve for music lovers would be Q1 = 100 - (1/20)P1 , where Q1 is the number of concerts that would be attended and P1 is the price per (hypothetical) ticket (in dollars) to the concert. The demand curve for intense music lovers would be Q2 = 200 - (1/10)P2 . Assuming the marginal cost of a concert is $2800, what is the efficient number of concerts to offer each year?

Reference no: EM131253725

Questions Cloud

Develop a presentation containing three or four slides : Imagine that you are a new employee in the engineering organization of a large camping equipment and outdoor furniture manufacturing firm. - Develop a presentation containing three or four slides that summarize your thoughts.
Should that action terminate the agent''s authority to act : When an agent acts in violation of his or her ethical or legal duty to the principal, should that action terminate the agent's authority to act on behalf of the principal? Why or why not
Minus grading system at a university : Test at α =.05 and 0.10 the hypothesis that a majority (more than 50%) of students favor the plus/minus grading system at a university if in a random sample of 500 students, 265 favor the system?
What the central message of the production : What is the artist trying to do? Think from the perspective of the playwright - what the central message of this production? This question goes beyond the plot summary of the show and asks you think about the intention of the artist him or herse..
What is the efficient number of concerts to offer each year : The demand curve for intense music lovers would be Q2 = 200 - (1/10)P2 . Assuming the marginal cost of a concert is $2800, what is the efficient number of concerts to offer each year?
Show the quantity and cost of each ingredient required : In a spreadsheet program, enter the ingredients and quantity required to make your favorite homemade cookie. -Now "explode" the BOM to show the quantity and cost of each ingredient required to make 10,000 cookies.
Describe the impact of policy on rural labor force : 1. Suppose that, for example in India, a minimum wage is instituted in the modern sector above the market clearing wage, while the rural traditional wage is market determined at a lower level than in the modern sector (a) Describe the impact of th..
Prepare multiple-step income statement : The following is a partial trial balance for the Green Star Corporation as of December 31, 2016: Account Title Debits Credits Sales revenue 2,100,000 Interest revenue 49,000 Gain on sale of investments 69,000. Prepare a multiple-step income statement..
Are corporations moral agents : Are corporations moral agents? Do they have moral responsibilities? Or, in your view do only human beings have moral agency and moral obligations

Reviews

Write a Review

Econometrics Questions & Answers

  Solve for the equilibrium price ''p''

Solve for the equilibrium price 'P'

  Causal relationship exists between the two variables

Give two examples of variables that you would expect to be positively correlated. For each example, explain whether a causal relationship exists between the two variables.

  Show the effect of the tax on the equilibrium wage

You are an economic consultant to a city that just imposed a payroll tax of $1 per hour of work. This payroll tax is paid by workers through a payroll deduction: For each hour of work, the employer deducts $1 and sends the money to the city govern..

  What rate of return would the indians have received

Peter Minuit bought an island from the Manhattoes Indians in 1626 for $24 worth of beads and trinkets. The 1991 estimate of the value of the land on this island was $12 billion (1 billion = 109). What rate of return would the Indians have received ..

  What is the governments opportunity cost of capital

The state's fish and game department has a capital budget of $9million. What is the government's opportunity cost of capital if ithas the following projects to consider What does this indicateabout which projects should be done

  Discusst the potential role of each of the factors listed

In each case, indicate whether the effect is through A, through K, through H, or through some combination of A, K, and H. A is the level of technology, K is the level of capital stock, H is the level of the Hu- man capital stock.

  Define power as used in management of business

Define power as used in management of business. Define power as used in management of business.

  What is the opportunity cost of a bottle of root beer

what is the opportunity cost of a bottle of root beer

  Explain why the ad curve has a vertical portion

If the Federal Reserve increases the money supply, what will happen to the AS-AD diagram you drew in part (a)? Will equilibrium output move closer to the natural level?

  Find the government spending multiplier

On the planet Omicron Persei 8, government spending is $1000, net taxes are $1200, and planned investment is $1400. Consumers spend according to the equation C = 100 + 0.8Yd, where Yd represents disposable income.

  In what ways does our trade model require further extension

In what ways does our trade model require further extension?

  Is it possible for smaller firms to thrive and profit

You want to start a company, and are trying to decide between two different industries. You are doing your final research before you write your business plan. Industry A has 20 firms and a Concentration Ratio (CR) of 30%

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd