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The following information describes the value Lori Landlord places on having her five apartment houses repainted. She values the repainting of each apartment house at a different amount depending on how badly it needs repainting.Value of new paint on 1st apt house $5,000Value of new paint on 2nd apt house $4,000Value of new paint on 3rd apt house $3,000Value of new paint on 4th apt house $2,000Value of new paint on 5th apt house $1,000Plot Lori Landlord's willingness to pay.
If the price to repaint her apartments is $5,000 each, how many will she repaint? What is the value of her consumer surplus?Suppose the price to repaint her apartments falls to $2,000 each. How many apartments will Lori choose to have repainted? What is the value of her consumer surplus?What happened to Ms. Landlord's consumer surplus when the price of having her apartments repainted fell? Why?
Explain how would a low-cost price leader enforce its leadership through implied threats to a rival. Provide at least one example of such a strategy.
if you deposit $1000 now, $3000 four years from now follows by five quartely deposite decreasing by $500 per quarter at an interest rate of 12% per years compounded quartely. how much will you have in your account 10 years from now?
Construct a choice table for interest rates from 0% to 100%. If the MARR is 10%, which alternative should be selected? Can you please explain how to solve the problem on excel
If the government raises your marginal income tax rates and uses the money in a way that does not affect you in any way.
A 50 percent increase in cigarette prices would cut overall consumption by 12.5 percent, with even greater declines in smoking among minorities and young adults, federal health experts said Thursday. The Centers for Disease Control and Prevention (CD..
Suppose the demand curve for a monopolist is q=500-p, and the marginal revenue function is mr=500-2q. The monopolist has a constant marginal and average total cost of $50 per unit. Elucidate what is the lerner index for this industry.
Considers a consumer who suddenly changes her preferences with regard to air travel,
Your mutual fund increased in value from $10 to $40 over the last 15 years. Illustrate what was the average annual return with continuous compounding for the mutual fund over the 15 year period.
Write down a utility function that represents Britney's preferences over dresses also hats.
for what interest rate will the maximum number of housing starts be achieved?
Elucidate the process and causes by which each of the following economic events will move the economy from one long-run macroeconomic equilibrium to another. Use the diagrams below, resizing them as necessary.
If workers do not have the skills that are required in the job market, which of the following will occur? When the economy is below full employment, it is producing. How has the unemployment components of the natural rate of unemployment changed over..
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