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The Faculty of Economics and Administrative Sciences is considering to throw a party to its students. The marginal benefits to the students are given by MB=1200-Q2. ( Q is in a way the "party size" representing the intensity of the party, reflecting both the duration of the party and the amount of drinks consumed) marginal private costs are MPC=300. The problem is that the professors also want to attend the party and enjoy the music with the students but they can only attend if they agree to serve beer to the students. Normally, professors do not like this. The marginal cost to them is 200.
If Price elasticity of demand for restaurant meals is 2.27 and restaurant meals wants to increase slaes by 45% by illustrate what percentages would the price have to decrease to get the intended resualts.
Illustrate what is the minimum efficient scale for each technology. Illustrate what if it was more optimistic about summer sales.
Suppose the economy is in a recession and per capita disposable income is expected to decrease by 5%, then what percentage effect on sales would you expect to take place.
Explain how many cases of toothpaste should be produced in order to maximize profits. Illustrate what happens if its decided to raise prices unilaterally in this toothpaste market.
Explain why do national income accountants compare the marker value of the total outputs in various years rather than actual physical volumes of production.
Illustrate what do the results tell you about the relative size of the income also substitution effects for leisure for Jake.
Over the past year price inflation has been 10% but the price of a used ford escort has fallen from $6000 to $5000. The real price of a ford escort has fallen by Elucidate how much.
Distinguish between the resources market and the product market in the circular flow model.
Here are too few stars to fully staff every team, but there are enough for a few to be on every team if an owner decided to hire them.
Suppose that the participation variable, voucher, is completely randomized in the sense that it is independent of both observed and unobserved factors that can affect the test score.
How does the change of consumer and producer surplus compared to the tax revenue.
Which among the equation will you choose for a better demand estimation. Illustrate answer in the language of statistics.
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