Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Suppose you are the manager of a restaurant that serves an average of 400 meals per day at an average price per meal of $20. On the basis of a survey, you have determined that reducing the price of an average meal to $18 would increase the quantity demanded to 450 per day.
A. Compute the price elasticity of demand between these two points.
B. Would you expect total revenues to rise or fall? Explain.
C. Suppose you have reduced the average price of a meal to $18 and are considering a further reduction to $16. Another survey shows that the quantity demanded of meals will increase from 450 to 500 per day. Compute the price elasticity of demand between these two points.
D. Would you expect total revenue to rise or fall as a result of this second price reduction? Explain.
E. Compute total revenue at the three meal prices. Do these totals confirm your answers in (b) and (d) above?
Assume that country A can produce a unit of good X with 1 labor hour and a unit of good Y with 3 labor hours. Country B can produce a unit of good X with 2 labor hours and a unit of good Y with 8 labor hours. Labor is the only resource used. What wou..
Describe the Harrod-Domar growth model, and explain precisely how the model illustrates dynamic instability. Why is it often called the knife’s edge model?
When economists speak of "marginal," they mean. Managers undertake an investment only if. A manager of a clothing firm is deciding whether to add another factory in addition to one already in production. The manager would compare. If a firm's average..
Use the sticky wage theory of aggregate supply to explain what will happen to output and the price level in the long run. What role does expected price level play in the adjustment?
Suppose that you are buying your first home. Current interest rates on a 30-year fixed-rate mortgage are 5 percent, since lenders expect an inflation rate of 2 percent over the next 30 years, thus ensuring them a real return of 3 percent. If actual i..
Explain the effects of the increase in global demand for cell phones on the market for cell phones and on an individual cell-phone producer in the short run.
If your rival advertises and you do not, you will make $1 million and your rival will make $3 million. Does rival have a dominant strategy. What is Nash equilibrium for one-shot game.
Under Smith's theory of international trade a country will completely specialize in the good it has an absolute advantage in producing. According to Ricardo the immediate basis for trade stems from _________________ cost differences between nations.
If an employee is performing below standards managers need to explain what needs to be done to improve performance, and then give the employee specific tasks and timelines to do this. Often this is done with an action plan. Do a little research and t..
Assume that, in a competitive market, long run supply and demand is more elastic than short run supply and demand. Suppose that the government imposes a transactions tax in this market. In the long run, the tax will collect [less/more] revenue and ca..
A newspaper has a monopoly on the local news market in a town. The market demand is given by P=1.70-Q/20,000, making the marginal revenue MR=1.70-Q/10,000. The marginal cost is constant at equal to 0.80. The fixed cost is 2,000. So, the total cost is..
A company is considering a proposed new plant that would increase productive capacity. Which of the following statements is CORRECT?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd