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Cinema Theater has estimated the following demand functions for its movies:Daytime demand, QD = 400 - 50 PDNighttime demand, QN = 200 - 20 PN
The marginal cost of serving another customer is $5 and its fixed costs are $100.If the theater uses third degree price discrimination, what price will it charge for daytime tickets? How many will be sold?
a safe firm and a risky firm. Each firm needs to borrow the same amount of funds to start a project. The safe firm knows with certainty that it will see a 30 percent return on the project (i.e., for each $100 borrowed, the safe firm will see rev..
For each of the following cases, calculate the arc price elasticity of demand and state whether demand is elastic, inelastic, or unit elastic. When the price of milk increase from $2.25 to $250 per gallon
ADVANCED ANALYSIS Assume the following values for Figures 5.4a and Figures 5.4b. Q1 = 20 bags. Q2 = 15 bags. Q3 = 27 bags. The market equilibrium price is $45 per bag. The price at a is $85 per bag. The price at c is $5 per bag. The price at f is ..
a consumer is currently purchasing three pairs of jeans and five T-shirts per year. The price of jeans is $30, and T-shirts cost $10. At the current rate of consumption, the marginal utility of jeans is 60, and the marginal utility of T-shirts is ..
what is the probability that it will be green?I did take one marble out of the bag; it was red. I set it aside. Now I am going to choose another marble at random. What is the probability that it will be green?
Suppose the government decides to increase taxes by $30 billion in order to increase Social Security benefits by the same amount. How will this combined tax-transfer policy affect aggregate demand at current prices
Lorena likes to play golf. The number of times per year that she plays depends on both the price of playing a round of golf as well as Lorena's income and the cost of other types of entertainment-in particular, how much it costs to go see a movie ..
The presence of autocorrelation leads to all of the following undesirable consequences in the regression results except:
Suppose the firms play this game for five years in a row, and they know that at the end of five years, both firms plan to go out of business. What is the sub game-perfect equilibrium for this five-period game.
Suppose there are 100 firms in the economy. Let us call them firm 1, firm 2, ..., and firm 100. For firm j (j=1,2,...,100) the labor demand (or equivalently MPN) is Nj = 1 - 0.02w where w is the real wage. Note that labor demand function for the w..
Determine what is the state of the economy in brazil versus the united states and discuss the GDP of brazil and the united states?
short-term parkers and all-day parkers with respective demand curves of Ps=3-(Qs/200) and Pc=2-(Qc/200). Here P is the average hourly rate and Q is the number of cars parked at this price. The garage owner is considering charging different prices ..
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