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Figure 21-16 Refer to Figure 21-16. The price of X is $25, the price of Y is $25, and the consumer’s income is $100. Which point represents the consumer’s optimal choice?

Table 17-25 There are just two producers of a certain product. Each is considering offering promotional discounts.     Firm A     Does not offer discount Offers discount Firm B Does not offer discount Firm A profit = $90,000 Firm B profit = $90,000 Firm A profit = $120,000 Firm B profit = $70,000 Offers discount Firm A profit = $70,000 Firm B profit = $120,000 Firm A profit = $80,000 Firm B profit = $80,000 Refer to Table 17-25. At the Nash equilibrium, how much profit will Firm A earn?

Figure 21-17 Refer to Figure 21-17. When the price of X is $6, the price of Y is $24, and income is $48, Paul’s optimal choice is point C. Then the price of Y decreases to $8. Paul’s new optimal choice is point

What provisions might you make if the block area is too small and negative behavior develops?

Refer to Figure 16-2. If the average variable cost is $24 at the profit-maximizing quantity, and if the firm’s fixed costs amount to $60, then the firm’s maximum profit is

Andi uses all of her income to purchase books and games. At any two points A and B on Andi’s budget constraint,

Scenario 14-4 The information below applies to a competitive firm that sells its output for $40 per unit. • When the firm produces and sells 150 units of output, its average total cost is $24.50. • When the firm produces and sells 151 units of output, its average total cost is $24.55. Refer to Scenario 14-4. Suppose the firm is producing 150 units of output and its fixed cost is $975. Then its average variable cost amounts to

Willie’s Wading Adventures sells hip waders for fishing and duck hunting in a perfectly competitive market. If hip waders sell for $100 each and average total cost per unit is $95 at the profit-maximizing output level, then in the long run

Table 17-26 Two prescription drug manufacturers (Firm A and Firm B) are faced with lawsuits from states to recover the healthcare related expenses associated with side-effects from its drugs. Each drug manufacturer has evidence that indicates that taking its prescription drug causes liver failure. State prosecutors do not have access to the same data used by drug manufacturers and thus will have difficulty recovering full costs without the help of at least one of the drug manufacturer’s studies. Each firm has been presented with an opportunity to lower its liability in the suit if it cooperates with attorneys representing the states.     Firm B     Concede that taking the drug causes liver failure Argue that there is no evidence that taking the drug causes liver failure Firm A Concede that taking the drug causes liver failure Firm A profit = $–60m Firm B profit = $–40m Firm A profit = $–100m Firm B profit = $–12m Argue that there is no evidence that taking the drug causes liver failure Firm A profit = $–12m Firm B profit = $–100m Firm A profit = $–24m Firm B profit = $–24m Refer to Table 17-26. When this game reaches a Nash equilibrium, profits for Firm A and Firm B will be

Continuity of care between home and school environments is vital for the appropriate care of __________.