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1. An agent has a utility function over goods 1 and 2 of the form U = xc1 x d2 where c is your individual number and d is your minimum number. The agent's income is equal to your 2-digit number. The price of good 1 is your maximum number and the price of good 2 is your median number.
Derive the demand functions of agent for good 1 and good 2. Compute the quantities of good 1 and good 2 in the agent's optimum bundle.
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Suppose that a small publisher selling to book distributors has fixed operating costs of $600,000 each year and variable costs of $3.00 per book. How many books must the firm sell
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What are the costs of the new systems that may be implemented? How do we justify their implementation at Can Go?
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