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Andrea owns the only parking garage in town (i.e., she's a monopolist). Suppose that the marginal cost of letting an additional car in the garage is zero, and that the demand for parking in the garage is known. Show how Andrea determines the profit maximizing quantity of cars to allow in, and the price to charge. Is it always profitable for Andrea to fill the garage to capacity? Why or why not? Assume that Andrea does not practice price discrimination.
(a) What is the joint probability distribution for first cost and net revenue?
Assume that Dr. Slight has $100 to spend on goods X and Y. Are X and Y perfect complements or perfect substitutes? Explain how you know.
q.the total demand as well as for money is equal to the transactions demand as well as plus the asset demand as well as
Demonstrate in a graph that if the production technology is of fixed proportion type (L- shaped isoquants), an increase in wage rate will cause only a scale effect on labor demand and no substitution effect. will there be any difference between short..
Write the code for each lab assignment. The code is to be submitted in a single compressed folder (zip file) to the online course shell. The file must contain all .htm files, along with any other files that may be necessary for your project to run ..
The opportunity cost of a new public highway is the:
Consider an income guarantee program with an income guarantee of $5,000 and a benefit reduction rate of 40%. A person can work up to 2,000 hours per year at $10 per hour. Which of these two income guarantee programs is more likely to discourage work?..
You now should realize how important it is for economists to try and predict future conditions of the U.S. economy. Economists are also interested in the performance of the economy at a more local level. Discuss how local and national forecasts play ..
A 15-year annuity pays $2,200 per month, and payments are made at the end of each month. If the interest rate is 10 percent compounded monthly for the first seven years, and 6 percent compounded monthly thereafter, what is the present value of the an..
principles of strategic management to a case study.
What do you think are the implications of the level of both consumer and government debt? What are the implications of foreign ownership of US government debt?
Bribes: Two players find themselves in a legal battle over a patent. The patent is worth 20 to each player, so the winner would receive 20 and the loser 0. Given the norms of the country, it is common to bribe the judge hearing a case.
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