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Q1. Ollie has 40 dollars, which he decides to spend on x and y. Commodity x costs $13 every unit and commodity y costs $11 every unit. He has the utility function U(x; y) = 6x2 + 4y2 and he can purchase fractional units of x and y.
Q2. Nick insists on consuming 3 times as much of y as he consumes of x (so he always has y = 3x). He will consume these goods in no other ratio. The price of x is 2 times the price of y. Nick has an endowment of 20 x's and 75 y's which he can trade at the going prices. He has no other source of income. Illustrate what is Nick's gross demand for x?
Why might a company use an indirect cost discrimination scheme versus direct cost discrimination
Examine the key factors affecting the demand for and the supply of a good or service
Evaluate the results of the regression equation tells managers and how it is likely to impact decisions made related to maximizing profitability.
Illustrate what will be the long run market equilibrium price also output. Elucidate how many mills of Illustrate what type - new or old - will survive.
She can charge different prices in the two markets. Illustrate what is the profit-maximizing combination of quantities for this monopolist.
Where Q is the production and V is the number of employees working 8 hours a day
When would it make sense for a factory that is losing money to remain in operation
What is the social optimum? What specific tax per unit of output of gunk results in the social optimum.
South Korea can produce a maximum of 600 million toaster ovens or 900 million tons of rice per year. The U.S. can produce a maximum of 700 million toaster ovens or 1,000 million tons of rice per year.
If the two firms could collude and agree on Explain how to split the total profits, Illustrate what outcome would they pick.
In late 2006 and early 2007, orange crops in Florida were smaller than expected, and the crop in California was put in a deep freeze by an Arctic cold front.
Elucidate how much will each worker have to pay per unit to provide the socially efficient quantity.
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