<span>a. </span>No. Since the good that I am selling
is inelastic considering the elasticity given in and outside Texas, having a
lower price than non-Texan gas stations would have less impact on the quantity
demanded.
<span>b. </span>The profit-maximizing price to
charge a Texan for a car wash would be $12.
<span>c. </span><span>The profit-maximizing price to
charge a Californian for a car wash would be $18. </span>
<span>(See attached for the calculations.)</span>
Answer:
Some of the overarching goals that market research can help organizations accomplish, include: making important business decisions, securing investments and funding, determining new business opportunities, and even avoiding business failures.
Market research is the process of determining the viability of a new service or product through research conducted directly with potential customers. Market research allows a company to discover the target market and get opinions and other feedback from consumers about their interest in the product or service.
Answer:
Money multiplier for this economy is 5
Explanation:
Initial bank reserves = reserve deposit ratio * $500 = 0.2 * $500 = $100
1) increase in bank reserves by $1 , bank reserve deposit increases from $500 to $101 / 0.2 = $505 and the money supply increases by $505 - $500 = $5
2) increase in bank reserves by $5 , bank reserve deposit increases from $500 to $105 / 0.2 = $525 and the money supply increases by $525 - $500 = $25
3) increase in bank reserves by $10 , bank reserve deposit increases from $500 to $110 / 0.2 = $550 and the money supply increases by $550 - $500 = $50
as money supply rises by 5 times the increase in bank reserves , the money multiplier in this economy is 5.
