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    Price as a function of Quantity

    A park has a capacity to hold 60,000 people on any particular day. Using third degree price discrimination - demand for 2 groups (boys & girls) is: Q /6000 + P = 8 Q / 6000 + P = 6 b b g g The hint provided is: Marginal Revenue in the two markets

    Multiple Choice Economics

    The constant or intercept term in a statistical demand study represents the quantity demanded when all independent variables are equal to: a. 1.0 b. their minimum values c. their average values d. 0.0 e. none of the above

    Multiple Choice Economics

    Marginal revenue (MR) is ____________ when total revenue is maximized. a. greater than one b. equal to one c. less than zero d. equal to zero e. equal to minus one

    Coefficient of Variation

    The demand for MICHTEC's products is related to the state of the economy. If the economy is expanding next year (an above-normal growth in GNP), the company expects sales to be $90 million. If there is a recession next year (a decline in GNP), sales are expected to be $75 million. If next year is normal ( a moderate growth in

    How much tax of each type do you pay if you earn $20,000 a year?

    TABLE 3 ON TAXABLE INCOME......... THE TAX RATE IS........ UP TO $27,050 15.0% FROM $27,050 TO 65,550 27.5 FROM $65,550 TO 136,750 30.5 FROM $136,750 TO 297,350 35.5 OVER $297,350 39.1 Suppose you are a typical person in the U.S. economy. You pay 4 percent of your income in state income tax and 15.3 percent of your l

    Intermediate microeconomics - Competition

    6. In the Woody Allen film Radio Days, a character who has never been successful in business decides to start a career engraving gold jewelry. He argues that this should be especially lucrative, because the engraver gets to keep the gold dust from other people's jewelry. Comment.

    Competition quote

    Is about Competition In the Woody Allen film Radio Days, a character who has never been successful in business decides to start a career engraving gold jewelry. He argues that this should be especially lucrative, because the engraver gets to keep the gold dust from other people's jewelry. Comment.

    Statements of Science

    Identify which of the following are statements of science: that is, statements involving both language and fact. a. My mother is a beautiful woman b. 10 + 10 = 100 c. In the northern hemisphere, daylight lasts kinger in summer than in winter d. The force exerted by a moving body is directly related to its acceleration e. 12

    Profit Maximization

    Please provide a detailed explanation and step by step solution. I also need to see hope this is graphed. Company has determined approximate relationship between quantity (Q) of it's product it can sell and the price in dollars (P) per product: Q = -20P + 330 I know total revenue = price * quantity. I need to undestan

    Elasticity & Marginal Costs: Dentist Example

    A local dentist read an article published by the American Dental Association estimating that the elasticity of demand for the representative dentist's services is -2.5. How much should the dentist mark up their price over marginal cost? Step me through the calculations please.

    One-Shot & Repeated Games

    Using one-shot and repeated games, would you expect tipping behavior to differ depending on whether a person is eating in a hometown diner or in a restaurant located in Timbuktu? Please explain.

    Demand Curves

    Monthly sales data from a T shirt indicate that the demand curve for the T-shirts can be described as: Q = 300 - 5P where Q is T shirt sales and P is price. Please step me through the following calculations: - How many T-shirts could the cafe sell at $5 each? - What price would they have to charge to sell 200 T shirts

    price-cost markup

    A. What price-cost markup is implied by a firm' elasticity of demand equal to -3.0? B. A "loss leader" is often defined as a product which is sold below incremental cost in order to build traffic to a store (whether physical or online). How would you reconcile the use of loss leaders with the markup rule you used in p

    P, R and C Diagram

    A Taco manufacturer can produce T tons of tacos per day at a cost of C=A+2T+0.1T2 Tacos sell competitively at $42 per ton and the cost of renting the taco factory and all other fixed factors A=$3000 per day. A. Express revenue (R) and profits (P) and each as a function of T. Sketch C, R and P in a single diagram. B. What

    Dynamic Pricing Explanation

    Select a company that uses (or has used) dynamic pricing. Briefly explain how the company uses dynamic pricing. What are the benefits and drawbacks of dynamic pricing for a particular company?

    Economics of internet

    3. Suppose that it is possible to provide internet backbone capacity at a constant marginal capital investment of $5 per megabit per second (mb/s). There are no marginal costs. There are two time periods during the day (for simplicity each will be 12 hours): day and night. During the peak period (daytime) of 250 business day

    How to calculate the square root

    For example: a market jwith two firms, one with a 60% market share and a second with a 40% share. The HHI (Herfindahl-Hirschman Index) for the market is 5,200, computed by adding the square of 60 (3,600) to the square of 40 (1,600) My question? I have forgotten how to do square root! How did they come to the square of 60 and


    The microsoft trial has been one of the biggest investigations of antitrust behavior since the turn of the century. Give view points of two sides: One that supports the government side and one that support's microsoft side

    Opportunity Cost and Alternative Choices

    We make choices as consumers every day. Opportunity cost is defined as a person's ''next best alternative'' or ''the cost of what you give up" when you make a choice. Think of a recent decision you made regarding your career. What was your opportunity cost for making that choice? What was your best alternative?

    Important information about Pareto efficiency

    Suppose that there are two consumers which we call A and B and two goods which we cal x and y. (a) Suppose consumer A has utility function u_a(x,y)=4log(x)+log(y) Consumer B has utility function u_b(x,y)=4sqrt(x)+sqrt(y) The aggregate endowments in good and y are e_x=10 and e_y=10. Draw the set of all Pareto efficient al

    Straight-line vs. double declining balance method

    This is an exercise I am practicing and I need someone to correct it for me and tell me where I stand. Thank you. Questions (also attached) 1. RichCo purchased machinery on 1/1/05 at a cost of $243,000. The estimated useful life is 5 years. The estimated salvage value is $12,000. a. Using the straight-line method

    TVC Curve

    See the detailed answer illustrated with a graph. Could you graph a typical TVC curve and explain how it reflects diminishing returns?

    Microeconomics -- marginal social costs (pollution problem)

    #2) The marginal social costs and abatement costs of a certain type of air pollution for a factory are given as: MSC = -1121 + 22.5Q MCA = 879 - 17.5Q Q = units of pollution per day, and MSC and MCA are measured in dollars. The Factory is located in a small town that is currently considering how to address the pollution


    Calulate the multiplier for the following cases MPS=0.25 MPC=5/6 MPS=0.125 MPC=6/7 C=$200=0.85y

    TVC (tvc) Curve, Diminishing Returns, Returns to Scale

    I would really appreciate it if you could explain the answer with only a graph. Thank you. a) Can you graph a typical TVC curve and explain how it reflects diminishing returns? b) Can you explain the difference between the diminishing returns and returns to scale. How does each affect the behaviour of average cost?