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Imagine that you own a pharmacy in your area. One of your competitors launches a "We will not be undersold" campaign, which promises consumers 150% of any difference between its prices and the advertised prices of other pharmacies Develop and describe a microeconomic model that is responsive to the service demands of your market. Based on your conclusions, how would you react to this situation and with what business strategy would you approach this? How might you apply game theory to the creation of your strategy?
Identify a large to mid-size business within the city or town where you live. Identify three stakeholders who stand to gain or lose the most by the activities of business and whose concerns the business needs to address.
A popular restaurant charges lower prices for alcoholic drinks in the late afternoon (4-6pm), but offers no such discounts at lunchtime or on weekends. What is different about demand characteristics for the same product at the same location but at di..
Public health information can be broadcast at a cost of $100. Public health information is a pure public good, in that many people can use the information simultaneously and preventing people from using the information is very difficult. how many bro..
The managing director of a consulting group has the following monthly data on total overhead costs and professional labor hours to bill to clients: Develop a trendline to identify the relationship between billable hours and overhead costs. Interpret ..
Propose several current and future economic issues confronting and changing the healthcare system - analyze the significant implications of the issues in question for market efficiency of the healthcare system.
If interest paid on the account was compounded annually, explain how much interest on interest was earned.
Assume that a country is growing at 5% per year. Now the saving rate decreases leadingto a new lower growth rate of 3.3% per year. How will the change in standard of living over time be impacted by this change in the saving rate and therefore the gro..
Explain the break-even price and the shut-down rule. List and explain the characteristics of monopolistic competition. Explain why a price-fixing cartel is difficult to maintain. Put in plain words the concepts of adverse-selection and moral hazard. ..
a country that does not currently tax cigarettes is considering the introduction of a 0.40 per pack tax. the economic
Why may the effective patent life of a drug be shorter than the legal life. Explain why may the effective patent life of a drug be longer than the legal life.
Assume that candle wax is traded in a perfectly competitive market in which the demand curve captures buyer’s full willingness to pay while the supply curve reflects all production costs. Maximum willingness to pay exceeds minimum acceptable price:
A surplus exists in a market if
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