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A Lower east-side cinema charges $3.00 per ticket for under 12 years of age and $5.00 per ticket for anyone 12 years of age or older. The firm has estimated that the price elasticity of demand for tickets by those 12 years of age or older is-2.0. Calculate what the elasticity of demand for tickets must be for children under 12 years of age if prices are optimal.
Suppose a single firm produces all of the output in an contestable market. The market inverse demand function is P=250-5Q and firm's cost function is c(Q)=6Q. Determine the firm's equilibrium price and corresponding function.
These questions concentrate on the game theory of money and banking. Consider the Principle-Agent problem in relation to banking.
Consider this scenario. You work for an auditing company. You have been asked to audit a national retail chain. Select one access device and one instance of application software which could be used by the retail chain to produce documents.
Describe the experience in the project, what were the solutions used to address the problem - was the case you described a special-cause or common-cause?
Describe the impact of an increase in government spending on GDP using both Keynesian and classical points of view.
Yet clearly not "everything" is counted. In 2008/2009, the United States was in a recession, and reported GDP was shrinking. Knowing not everything is counted, do you think a recession could "look" worse than what it is, due to how GDP is calculat..
(a) Calculate the total cost of the shares including commission. Give your answer in pounds. After 5 years, the shares are sold for 912 pence. (b) Calculate the income from the sale, before commission.
Write a short paper in which you describe the macroeconomic factors that caused headwinds for McDonald’s in 2012. Also, regarding the discussion of when McDonald’s introduced its Dollar Menu strategy in the fall of 2002, why was the company assuming ..
Identify the incentives to produce and price the product for a traditional monopoly and natural monopoly. Is it best for society, i.e., does society receive more welfare, to have natural monopolies provided by a private firm or by the government.
Women have increased the amount of education they have achieved relative to men, and average years of schooling completed are now approximately the same for males and females. Human capital theory predicts that this would close the male-female.
Imagine a world of two countries in which the only causes of fluctuations in stock prices are unexpected shifts in monetary policies. Under which exchange rate regime would the gains from international asset trade be greater, fixed or floating?
Consider a market where supply and demand are given Qx^s=-10 +Px and Qx^d= 56-2Px. Suppose the government imposes a price floor of $25, and agrees to purchase any and all units concumers do not buy at the floor price of $235 per unit.
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