Reference no: EM136525
Q1. You own a small town movie theatre. You currently charge $5 per ticket for everyone who comes to your movies. Your friend who took an economics course in college tells you that there may be a way to increase your total revenue. Given the demand curves. What is your current total revenue for both groups?
Q2. Tom, Dick, and Harry, the only three people on a desert island with two consumption goods, apples and bananas, have utility functions UT, UD, and UH, respectively, where:
UT (xa, xb) = 6xa+9xb UD (xa, xb) = 8xa+12xb UH (xa, xb) = xaxb2
a.) Relative to Tom, does Dick require more bananas, less bananas, or the same number of bananas to give away an apple? Why?
b) Suppose Harry has 3 apples and 2 bananas. Would he be willing trade an apple for a banana? Show why or why not.
|
Limitations of the theoretical framework
: Summarize in words the predictions and limitations of the theoretical framework developed for the first exam: that is the predictions for the effect of capital accumulation.
|
|
Prime products manufactures specialized goods
: Prime Products manufactures specialized goods to customers' specifications and operates a job-order costing system.
|
|
Theory of consumer choice
: When the bookstore announces a 20% price increase in new texts and a 10% increase in used texts for next year, Guojun's father offers him $80 extra.
|
|
Congress and state legislatures
: What steps can Congress and state legislatures take to alleviate a serious national shortage of skilled providers. Research suggests medical errors have been linked to inadequate staffing.
|
|
Small town movie theatre
: Relative to Tom, does Dick require more bananas, less bananas, or the same number of bananas to give away an apple.
|
|
Market equilibrium for fuel and car
: Assuming fuel is one of the main inputs for many sectors. When a war breaks out in Country X, which is the main producer for fuel in the world, it causes fuel supply disruptions in the world.
|
|
Law of variable proportions
: What is the difference between a production function and an quant. Explain the law of variable proportions with the help of quant.
|
|
Disagreement over the amendments
: The factory operation creates smoke that affects nearby homeowners, causing respiratory ailments and similar problems.
|
|
Maximize your expected profits
: Find the output you should produce in order to maximize your expected profits so that you can then determine your expected profits accurately.
|