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You are the manager of a firm that receives revenues of $60,000 per year from product X and $100,000 per year from product Y. The own price elasticity of demand for product X is -2, and the cross-price elasticity of demand between product Y and X is 1.5. How much will your firm's total revenues (revenues from both products) change if you increase the price of good X by 2 percent?
What is a subgame-perfect Nash equilibrium proposal of player 1, and what is the resulting outcome of the game
Extensive margin models use Rogerson (1988) style lotteries in order to simplify the savings problem under non-full-insurance.
Is this analysis consistent with the proposition which money has real effects in the short run but is neutral in the long run.
Illustrate what would you do shut down or continue to operate. Use hypothetical numbers to explain.
England can produce 50 units of wine if it produces no cloth, and 100 units of cloth if it produces no wine. Using this information, we can conclude that.
Calculate your price elasticity of demand of widgets. What can you say about your price elasticity of demand of widgets?
Suppose a second firm enters the market. let Q1 be the output of the first firm and Q2 be the output of the second. What is the profits of each firm as functions of Q1 and Q2.
A machine costs $50,000, and increases revenues by $18,000 per year. However, O&M costs increase by $4,000 per year. The machine lasts 6 years and your MARR is 7% annual rate compounded annually. What is the Present Worth (or Net Present Value) and s..
If congress took steps to consolidate banks, thereby reducing the total number to 2,500, illustrate what would you expect to happen to costs within the banking industry.
Which in turn depends on the animal's access to grazing which depends on the number of llamas sent to the commons.
just about everyone agrees that there is a legitimate and important role for government in business. where the
A major producer of passenger tires has launched an advertising campaign in which it is trying to market windshield wipers to the public under its brand name, which has been highly successful in the passenger tire market. Perform a SWOT analysis of t..
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