User Account

All Pages

Clinic profit-maximizing price

Assignment Help Macroeconomics
Reference no: EM131102209

A clinic has incremental costs per case of $10 and overhead costs $100,000. It faces price elasticity of demand of -2.

a. What is the clinic's profit-maximizing price?

b. How would the profit-maximizing price change if overhead costs doubled?

c. With excess capacity, would serving Medicaid customers for a fee of $16 make sense?

d. How would the profit-maximizing price change if Medicaid raised its fee to $18?

Reference no: EM131102209

Questions Cloud

Standard deviation sestimate of the estimated percent : 6.34 Telemarketing wages. An advertisement in the student newspaper asks you to consider working for a telemarketing company. The ad states, "Earn between $500 and $1000 per week." Do you think that the ad is describing a con?dence interval? Expl..
Draw to a reasonable scale the influence line for the shear : Determine, using an influence line, the maximum downward reaction (A??c) at A due to a 2 kips/ft live load for the beam shown above.
Define simulation analysis scenario analysis and sensitivity : Define (a) simulation analysis, (b) scenario analysis, and (c) sensitivity analysis.
Requires special treatment for newborn babies : a. If the Ulleval University Hospital in Oslo requires special treatment for newborn babies weighing less than 2700 g, what is the percentage of newborn babies requiring special treatment?
Clinic profit-maximizing price : a. What is the clinic's profit-maximizing price? b. How would the profit-maximizing price change if overhead costs doubled?
Investment and net exports do not change : The consumption function is C = 0.75Y where the marginal propensity to consume MPC equals .75 (out of an additional $1 in national income 75 cents is consumed). The government increases its purchases by $100 million, and investment and net exports do..
Make a prediction for burglary : A regression model to predict Y, the state-by-state 2005 burglary crime rate per 100,000 people, used the following four state predictors: X1 = median age in 2005, X2 = number of 2005 bank- ruptcies per 1,000 people, X3= 2004 federal expenditures per..
Determine the vertical reaction at rocker support b in n : Determine the vertical reaction at rocker support B in N. It is given that F = 203 N and x = 6.6 m.
Act of buyers and sellers : What is the the act of buyers and sellers freely and willingly engaging in non-fraudulent market transactions. Both parties should benefit from the exchange.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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