Market demand to decrease and two shift factors

Assignment Help Business Economics
Reference no: EM131692115

1. (Part A) You know that you are operating in a monopolistically competitive market, that is, you are a small part of a large market with many competitors in this market. From data collected on the Widget Market, you know that market demand has recently decreased, and market supply has recently increased.

Name two shift factors and determinants that could have caused the market demand to decrease and two shift factors and determinants that could have caused the market supply to increase.

Also as manager of the facility, what decisions should you make regarding production levels and pricing for your Widget facility?

Remember that supply and demand are about the market supply and market demand, which is much bigger than your own company. You are being given data on supply and demand for the whole market and are being asked what effect that has on you as a small part of that market. You want to identify the possible change in market equilibrium price, and possible change in market equilibrium quantity based on the shifts in demand and supply and adjust your own price and quantity to match the market.

Reference no: EM131692115

Questions Cloud

List the stages of instructional design : List the stages of instructional design. List at least two appropriate training methods for delivering the diversity training.
Offer pros and cons regarding form of corporate structure : Offer pros and cons regarding this form of corporate structure. If possible, give examples of successful and not-too-successful conglomerates.
How do information management systems assist management : How do information management systems assist management in implementing quality improvement initiatives
What exactly is an incremental analysis : What exactly is an incremental analysis and what are some examples where an incremental analysis might be applied in either the business world
Market demand to decrease and two shift factors : Name two shift factors and determinants that could have caused the market demand to decrease and two shift factors and determinants
Define the buyers perceptions of the features of car : Based on this information, do you believe that potential buyers' perceptions of the two features are independent? Explain.
Calculate the average cost per unit : Flounder Corp. reports the following for the month of June. Calculate the average cost per unit, using a perpetual inventory system
How might our measurements have an impact : How we measure performance. How might our measurements have an impact on how the manager behaves - Though we aren't addressing compensation
Explain purpose of the bona fide occupational qualification : Give your opinion of the purpose of the Bona Fide Occupational Qualification (BFOQ), as discussed within the text.

Reviews

Write a Review

Business Economics Questions & Answers

  Make the y-axis the quantity of organ transplants

AZ approved 98 patients for organ transplants, but those patients have been told they can no longer receive transplants because of budget cuts. The state is facing a $1.5 billion budget deficit and has cut all of their state-funded lung transplants a..

  Social marginal cost of the production of snowobiles

The social marginal cost of the production of snowobiles. In addition to the M1 money supply, the M2 money supply measure includes a number of highly liquid savings deposits. The M1 money supply is larger than the M2 money supply.

  Compute the expected value the expected return

Compute the expected value, the expected return, the variance and the standard deviation of an asset that requires a $1000 investment, but will return $850 half of the time and $1,250 the other half of the time.

  Find the daily output of the factory

The manager of Dixie Furniture Company estimates that the daily output of her factory (in thousands of dollars) Q is given by Q = 2x^1/4y^3/4 where x is the amount spent on labor and y is the amount spent on capital (both measured in thousands of dol..

  Demand with perfect complements-what is slope of budget line

Mar ´ia lives in the beautiful country of Inflationlandia. She earns 30 million pesos a month. She only consumes hamburgers and buns. The price of a dozen hamburgers is 2 million pesos and the price of a dozen buns is 1 million pesos. Graph her budge..

  National output in setting of flagging private investment

A. What is Say’s Law? How may it fail to hold in a monetary economy? B. Explain how deficit spending may increase national output in a setting of flagging private investment. How does the propensity of consumers to spend their income shape this effec..

  Illustrate what defensive open market operations

If the Treasury has just paid for a supercomputer and as a result its deposits with the Fed fall, illustrate what defensive open market operations will the manager of the open market desk undertake.

  Cost cooperatively through waiting cost savings

The wheat harvesting season in the American Midwest is short, and most farmers deliver their truckloads of wheat to a giant central storage bin within a two-week span. It will cost $200,000 to enlarge the bin during off-season. How long will it take ..

  Percent of capacity is required for plant to break even

A manufacturing plant has the capacity to produce 1,000,000 widgets per year. Each sells for $20. The variable cost to produce each widget is $5 per widget. Annual operating costs are fixed regardless of production volume, and are $2,000,000 per year..

  Government imposed a price ceiling on a monopolist

Suppose the government imposed a price ceiling on a monopolist. Let denote the price ceiling, and suppose the monopolist incurs no costs in producing output. True or false: If the demand curve faced by the monopolist is elastic at the price, then the..

  Salvage value of the vehicle

The table below lists the running costs and salvage value of the vehicle for each year.

  Countries vary in their healthcare systems

Countries vary in their healthcare systems. Comparing them may provide insights into potential healthcare system improvements for the United States.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd