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If there is a product e.g. McDonalds shamrock shake, that is only offered a specific time in the year, does the company that produces the product conduct a marginal anaylysis to determine when it should be sold on the market to maximize profits? If so, please explain.
During the energy crisis of the 1970s, and again in the last 5 years, Congress bemoaned the “price gouging” and “windfall” profits of the major oil companies. In the 1970s Congress imposed an “excess profits tax” on these companies. It did not do so ..
Can you tell the difference between a grain of rice from one farm from another grain from a different farm? Chances are you can't. And it's markets like this -with identical goods that leave producers to be price takers and also where entry into and ..
Consider the global market for crude oil Suppose there exists a single crude oil producer. This producer has a supply function for crude oil given by: If the crude oil producer acts as price-taking firm, what is the change in consumer surplus as a re..
How many Argentine pesos would it cost given the new exchange rate you just calculated.
If Professor P chooses x and s to maximize her utility subject to the constraint that Mr. A is willing to work.
Comparing the situation of a nominal interest rate of 10 percent and an inflation rate of 9 percent with a nominal interest rate of 6 percent and inflation rate of 2 percent, consumers would borrow more in which situation?
Given that the market borrowing and lending rate is 10%, and his expected production function is y2 = 220 * (the square root of Initinail Investment) What is the optimal amount Jerry should invest in his business in period 1? According to a), what is..
They pay set-up people $100 per gig. Electricity is not paid for. Assume that each musician could be earning $200 per gig if s/he would become a "portable disc-jockey". If the band produces 8 gigs, what is its economic profit?
International tax competition involves efforts by national governments:
Suppose firm 1 and firm 2 each produce the same product and face a market demand curve described by what is the Bertand-Nash equilibrium outcome?
You purchase a very small 1-bedroom apartment in New York for $1,000,000. You obtain a mortgage with a fixed monthly interest rate, ic = 0.42%/month. You can pay this loan off with a fixed monthly payment of M1, or you can pay a linearly increasing p..
Coupled with $160 annual tax rebate per household. Will the household be better or worse off under the new program.
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