Explain how much do you believe will be the budget share

Assignment Help Business Economics

Reference no: EM1347156

Q. Suppose that consumer spending is 200, and spending on food, transport and leisure is 60, 20 and 10 respectively. Suppose that after five years consumer spending doubles to 400. Explain how much do you believe will be the budget share of leisure? Why?

Q. you are the manager of a monopoically competititve firm, and your demand and cost functions are given by Q=20-2P and C(Q)+ 104-14Q+Q2.

a. find the inverse demand function for your firms product

b. determine the profit-maximizing price and level of production

c. calculate your firms maximum profits

d. what long-run adjustments should you expect/ explain

Reference no: EM1347156

Questions Cloud

Explain what do you think mcdonald new launch : Explain what do you think McDonald's new launch will have a sustainable impact on its bottom line.

Explain what are advantages and disadvantages of debt : Explain what are the advantages and disadvantages of debt and why is the cash position of a company important, when deciding to create a dividend policy?

Measuring performance with product costing data : The following table presents the weekly average of direct materials costs per unit for two products. How could the manager of the department that makes these products use this information?

Calculate the after tax income : Suppose you buy CSH stock for 40$ and its now selling for 50$. The corporation has declared that it plans a $10 special dividend. Suppose 2008 tax rates, if you sell stock or wait and receive dividend.

Explain how much do you believe will be the budget share : Suppose that after five years consumer spending doubles to 400. Explain how much do you believe will be the budget share of leisure.

Show the concept of a just-meaningful pay increase : A company of 15 employees has recently decided to overhaul its performance appraisal system and which plan would be most appropriate for the company to adopt

Probability of heavy- normal and light snowfalls : Brenda evaluates the probability of heavy, normal, and light snowfalls as 0.25, 0.6, and 0.15, respectively. So what must be size of the order you would suggest to Brenda? Justify why.

Define the final temperature of the coffee : A glass window pane is exactly 20 cm by 36 cm at 10oC. By how much has its area increased as it temperature is 33oC, assuming that it can expand freely? Take the coefficient of thermal expansion for the glass to be exactly 9 x 10-6/Co.

Explain how each theory would apply in this situation : Emily and Richard have invested in Faster Distribution, a small publicly traded company. They each own 40% of the stock of Faster Distribution.

User Account

All Pages