What made Southern Brewers lower its prices?
What made Southern Brewers lower its prices?
What made Southern Brewers lower its prices?
Under what conditions/circumstances does a bond have virtually no interest rate risk? Explain. Does a coupon bond that satisfies the above conditions/circumstances have absolutely no interest rate risk? Why or why not
Supply Decision of Competitive Firm(1)(2)(3)(4)(5)(6)Marginal(7)Total costcost per unitAverage costPriceQuantityTCTotal revenueProfitMCACPTR = q x PD = TR – TC(S)(S)(S)(5)($)(S)055,0001,00085,00027854040,000-45.0002.000110,00022554080.000-30.0003.000130,0002143.3340120.000-10.0003.999159.960.0138.9840.000+10159.960-0.0139.994.000160,000404040160.000040.014,001160,040.0140.0240.000+40160.040-0.015,000210,000604240200,000-10,000TABLE 8-1. Profit Is Maximized at Production Level Where Marginal Cost Equals Price
Federal Reserve Essay (3b, 5a) In the News: Based on what you have learned this week, research a news story on the Federal Reserve. What have they been doing lately? Why? Use the key word “economic news” in a Google search to find an appropriate news story or article that illustrates the ideas presented in the reading for this week. Write a 3 to 5 […]
Question :- All trucks traveling on Interstate 40 between Albuquerque and Amarillo are required to stop at a weigh station. Trucks arrive at the weigh station at a rate of 120 per eight-hour day (Poisson distributed), and the station can weigh, on the average, 140 trucks per day (Poisson distributed). Suppose arriving truck drivers look to see how many trucks are waiting to be weighed […]
Suppose the government can impose taxes on only two goods, X and Y. Thecompensated demand curve for X is Qx = 60 – 10Px and the compensated demand curvefor Y is Qy = 60 – 20Py . The supply curve of each goods is perfectly elastic at a price of$1.a) What should be the ratio of ad valorem tax rates, tx/ty , at the optimum?b. […]
1.The principle of risk aversion means that A.Investors will pay to avoid certain risks. B.Risk premiums are always negative. C.Investors never take on risk. D.Investors require larger compensation when the risk of a security decreases. 2.In credit markets, there is asymmetric information because: A.Borrowers know more than lenders B.Lenders know more than borrowers C.Borrowers and lenders have the same information D.Lenders and borrowers have perfect […]
Group Problem G17-1 Uncertainty Describe a decision your company has made when facing uncertainty. Compute the expected costs and benefits of the decision. Offer advice on how to proceed. Compute the profit consequences of the advice.
1. Explain why insurance companies, whose owners are presumably risk averse, are nonetheless willing to take on someone else’s risks of medical spending by selling insurance.2. Explain the incentive problem associated with fee-for-service insurance reimbursement. How does switching to capitation reimbursement solve this problem? Can you make an argument that capitation creates a different incentive problem?3. Discuss the differences between a traditional staff model HMO […]
During the recession of 2008 2009, the Detroit metropolitan area had very significant unemployment (the highest in the nation for any area with more than a million residents). What kind of unemployment (cyclical, structure, frictional) do you think this is? [Hint: remember that the Detroit area is home to the U.S. auto industry
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