Explain why the following might be true: A drought in the Caribbean raises the total revenue that producers receive from the sale of coffee, but a drought only in Grenada reduces the total revenue that Grenadian producers receive.
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PART B: Explain why the following might be true: A drought in the Caribbean raises the total revenue that producers receive from the sale of coffee, but a drought only in Grenada reduces the total revenue that Grenadian producers receive.
Ensure that you define any key terms used in your discussion.
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- Explain why the following might be true: a drought around the world raises the total revenue the farmers receive from the sale of grain, but a drought only in France reduces the total revenue that French farmers receive.Explain why the following might be true: A droughtaround the world raises the total revenue thatfarmers receive from the sale of grain, but a droughtonly in Kansas reduces the total revenue that Kansasfarmers receivePART B: Explain why the following might be true: A drought in the Caribbean raises the total revenue that producers receive from the sale of coffee, but a drought only in Grenada reduces the total revenue that Grenadian producers receive.
- Explain why the following might be true: A drought around the world raises the total revenue that farmers receive from the sale of grain, but a drought only in Kansas reduces the total revenue that Kansas farmers receive. To find additional study resources, visit cengagebrain.com, and search for "Mankiw."Which statement is true? a. Socio-cultural factors do not determine the goods that society is likely to value b. Socio-cultural factors do not affect the business c. Trends in socio-cultural factors may create new opportunities for a company d. Trends in socio-cultural factors guarantee the increase of company profitJohnny Rockabilly has just finished recording his latest CD. The company can produce the CD with no fixed cost and a variable cost of $18 per CD. His record company's marketing department determines that the demand for the CD is as follows: Complete the following table by computing total revenue for each quantity listed and marginal revenue for each 5,000 increase in the quantity sold. Price Number of CDs Total Revenue Marginal Revenue (Dollars) (Dollars) (Dollars) 30 10,000 28 15,000 26 20,000 24 25,000 22 30,000 20 35,000 Profit is maximized at a quantity of $? CDs and a price of $ ? . This results in a profit of $ ? If you were Johnny's agent, you would advise Johnny to demand a recording fee of from the record company. $ ?
- Describe the difference between average revenue and marginal revenue. Why are both of these revenue measures important to a profit-maximizing firm? Explain how a firm in a competitive market identifies the profit-maximizing level of production. When should the firm raise production, and when should the firm lower production?Maximizing total revenue is the same as maximizing profit is this true or falseA firm produces a steel bar. When the price of the steel bar is $ 30,000, the quantity demanded is 8 metric tons, a 100% change in the price would change the quantity demanded by 25%. 1. What is the price function of demand of the firm? 2. What is the total revenue function of the firm? 3. At what production output should the firm produce to maximize its total revenue?
- A free market is one where decisions regarding what and how much to produce are made by the market itself. This market is made up of buyers and sellers negotiating prices for goods and services. It is generally accepted that there are four degrees of competition within a free-market system. These include perfect competition, monopolistic competition, oligopoly, and monopoly. One benefit of the free market is that it allows open competition among companies. Businesses must provide customers with high-quality products at fair prices with good service. If they don't, they lose customers to businesses that do. Select the degree of competition that best describes each listed industry or business based on the description.Cigarette manufacturers were among the first companies to advertise extensively on television. Older people today can still hum the heavily advertised jingle, “Winston tastes good like a cigarette should.” They can also remember beautiful women with black eyes as they testified, “Tarey-ton smokers would rather fight than switch.” John Wayne and other movie stars appeared in commercials to endorse cigarettes. Cigarette companies were the major sponsors for many popular television shows. The companies also paid to have cigarettes included in the actual programs. In 1962 the cartoon characters Fred and Wilma Flintstone were shown smoking Winston cigarettes. The U.S. federal government banned television advertising of cigarettes starting in 1971. Interestingly, the leading cigarette manufacturing companies supported the ban, even though they had advertised heavily on television since 1940s. 1. Design a simple two-company game that illustrates why it might have been in the economic…Whether in the case of clothes and cars or in the case of universities, producers spend a lot of money establishing their "brand names" because: Group of answer choices Brand names are established by driving out the competition, after which these companies charge monopoly prices. Government legislation raises the prices of brand named items with price controls, and people have no choice but to pay the higher price for brand name products. There are legal requirements for companies with brand names to spend a percentage of their budget on advertising. Brand names carry a reputation of better quality, and consumers will pay a higher price for brand names.