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Best Buy offers a protection plan for new smartphones at $195. The absolutely most expensive iPhone you can buy right now is $849. Assume for a moment you are a very cautious but forgetful person: you would never, ever drop or damage your phone, but you might lose it. How likely must you be to lose your phone for $195 to be an actuarially fair price for mobile phone insurance? [Hint: you're solving for p, the probability of losing your phone. Not losing your phone, therefore, happens 1-p percent of the time.]
6. If your demand for some good x is
a) is X a normal or inferior good? Show me how you know.
b) is good Y a substitute or complement for good X? Again, show me how you know.
Suppose a basket of goods and services has been selected to calculate the consumer price index (CPI) and 2002 has been selected as the base year. In 2002, the baskets cost was $600; in 2004, the baskets cost was $650; and in 2006, the baskets cost..
ques 1the government is planning to build a bridge which connnects the north and south of the country. the cost of
An economy is facing the inflationary gap shown in the accompanying diagram. To eliminate the gap, should the central bank use expansionary or contractionary monetary policy? How will the interest rate, investment spending, consumer spending, real..
How much economic profit do you expect that Roberts company will make in the first year - Do you expect this economic profit level to continue in subsequent years? Why or why not?
1 what are the differences between the terms ell and lep?nbsp what is problematic with the term lep?nbsp is there a
Are all seats sold? If not, wouldn't the airline make more money by selling more seats at a lower price - Explain the conditions necessary for a firm to practice 3rd degree price discrimination and using airline conditions as examples.
draw the cheese market for the united states showing the world price as the price for this market. how much cheese does
In particular, what will be the likely effect of the LEGO Group's venture LEGO Universe on the organization of the LEGO Group in the future?
All U.S. states subsidize education for college students, mostly by charging below-cost tuition - Nearly free tuition is available in many European countries and Canada.
What are the necessary conditions to make price discrimination work and the best practices to use price discrimination to maximize profits while avoiding price wars? In your discussion make evident the challenges of the strategy even in markets where..
1. Consider two metropolitan areas, one that has many small school districts and one that has only a few large school districts. In a paragraph, what are the efficiency and equity effects of introducing a voucher system likely to differ across these ..
Write your personal opinion with the essay below.The importance of the usage of RFID tags is not a question. How the industry can implement and use RFID tags more efficiently and provide a more accurate real time update to the consumer is in developm..
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