A regional airline sells 200 tickets to New York City for an average price of $ 200 one way. Half of the people on the flight will purchase a meal for $5. The airline’s employee costs per flight include $500 each for the pilot and copilot, and $200 for each flight attendant. The law requires airlines to have at least one pilot, copilot, and flight attendant for each flight. Fuel for the flight is expected to cost $8,000, and the cost of catering food is $1 for each item purchased. 1st attempt Part 1 (2.5 pts) See Hint in revenue from tickets and $ from in-flight The airline earns $ purchases. If one flight attendant is staffed for the flight, the airline pays $ in fixed costs. If the airline has three flight attendants for the flight, the firm earns $ profit. Part 2 (2.5 pts) See Hint What happens to profit in each of the following scenarios, given the information in Part 1 above? Change in Profit Scenario 1. An unexpected fuel shortage results in an increase in the price of fuel for the foreseeable future. 2. A large conference is announced in New York, which results in an increase in demand for seats on flights to New York. 3. A competing airline opens a route, which increases the supply of flights to New York City. 4. The pilots’ union negotiates higher wages for pilots and copilots.
The long run result of the government responding to a negative
supply side shock with increased spending will be a:
slower recovery, if they misjudge their own spending.
slower recovery, but it will cause inflation to be lower than if
they did nothing.
faster recovery at a lower price level than allowing short-run
aggregate supply to adjust on its own.
faster recovery, but it will cause even greater inflation.
A firm produces an output good using labor as its only input,
according to the production function
q = E
where q is the number of units produced, and E is the number of
It has a monopoly on its product and, being the only employer in
the area, it’s a monopsonist on its labor market. On the product
market, the firm faces the inverse demand curve
p = 9 − q
where p is the price per unit. It hires labor according to the
inverse labor supply curve
w = E + 1
where w is the hourly wage.
(a) What is the optimal employment level E?
(b) How much output q will the firm produce?
(c) What wage w will the firm pay?
(d) What price p will the firm charge for its product?
(e) What will be the firm’s profits?
1 Mylab Economics Homework – 1 x Do Homework Jasmine Harris X + mathul.com/Student/Player Homework.aspx?homeworked=566085203&questionid=4&flushed=false&cid=6022559&back https://www.math.com/Student/DoAssignments.asp?ext wel enrollen MBA-502-95827 Economics for Business 2015 Jasmine Harrison & HW Score Homework: 7-2 MyEconLab: Module Seven Homework Score: 0 of 2 pts 19 of 25 (11 completo) Concept Question 2.12 The macroeconomy is depicted by the graph to the right a The current equilibrium price level and output level respectively are: and $ition, (Enter your responses as a whole numbers) 160 SRAS 140 RAS 120 1004 AD Enter your answer in the edit fields and then click Check Answer 1 pm remaining Type here to seeds 다.
When the government institutes a binding “price ceiling” (or maximum legal price), which of the following is generally the result (drawing a graph may help) Select one: O a. Consumers tend to be very happy, because they all enjoy the good at a now lower more reasonable price O b. Producers end up being better off, because they can now each sell more at this new government mandated lower price O c. We end up with a shortage, because Quantity demanded is greater than quantity supplied d. We end up with too much of the good being produced, because quantity demanded is greater than quantity supplied
A semiprofessional baseball team near your town plays two home games each month at the local baseball park. The team splits the concessions 50/50 with the city but keeps all the revenue from ticket sales. The city charges the team $200 each month for the three-month season. The team pays the players and manager a total of $1500 each month. The team charges $10 for each ticket, and the average customer spends $8 at the concession stand. Attendance averages 50 people at each home game. 1st attempt Part 1 (4 pts) See Hint in revenue for each game and $ of The team earns an average of $ revenue each season. each season, the team finishes the season with $ With total costs of $ of profit. Part 2 (1 pt) See Hint tickets for each game. Round to the In order to break even, the team needs to sell nearest whole number.
Which of the following statements is completely true regarding a
contractionary monetary policy?
Group of answer choices
The Fed buys bonds, increase money supply and increase the
The Fed sells bonds, increase money supply and increase the
The Fed sells bonds, increase money supply and increase the
The Fed sells bonds, decrease money supply and increase the
Fully discuss the Federal Reserves’ role and legal authorities
to intervene in a financial crisis.
GDP was first calculated in the 1930s to help policy makers understand spending patterns and develop policies to help the U.S. get out of the Great Depression. True O False
1. What is a problem with form contracts between individuals and
A. They are always unfair
B. Usually, only the drafting party understands the terms.
2. Imagine that a homeowner makes a contract with a plumber to
fix a burst pipe. The plumber agrees to do the job and they write
out a contract. The homeowner pays up front. The plumber shows up,
makes a big mess, and walks off the job. If the homeowner brought a
suit and a court found that the plumber had breached, what would
the court require of the plumber?
A. The plumber would have to go back to the homeowner’s house
and clean up the mess.
B. The plumber would have to go back to the homeowner’s house
and clean up the mess and then fix the pipe.
C. The plumber would have to pay the homeowner for the cost of
cleaning up the mess he had made.
D. The plumber would have to pay the homeowner for the cost of
cleaning up the mess he had made and the cost of getting the pipe
3. The major advantage of a franchise is:
a. training and management assistance.
b. personal ownership.
c. nationally recognized name.
d. all of the above.
True or false:
( ) An important reason why people contract is that
lots of mutually beneficial exchanges take time.
( ) If you objectively agree to a contract, but secretly are
only joking, you are bound to the contract.
( ) If you want to use a word in a particular way in a contract
that isn’t obvious to your counterparty, then the burden is on you
to make it clear what the word means.
( ) Gratuitous gifts are enforceable under U.S. contract
( ) An individual increases his/her chance for success in
business by buying a franchise.
1. In a limited partnership kind of business organization, when
the court can determine the end of limited liability of the
2. Federal and state laws are intended to protect investors from
crooked or unethical operators. In national level, what is the
regulation for Franchises?
3. What type of business organization you would recommend to an
investor who doesn’t want to manage the business? Why?