Why does the government need to get involved with externalities to bring about market efficiency? What solutions need to be provided for your examples? Assignment, Raise or Lower Tuition? You have been hired by Nobody State University (INS) as a consultant to help the university with how to increase their total revenue. The university has been struggling in recent years, so they have hired you to help them in their last attempt to find an appropriate solution so that the university can survive. Raise or Lower Tuition? Suppose that, in an attempt to raise more revenue, Nobody State University increases its tuition.
Assess a raise in tuition and if it will necessarily result in more revenue. Describe the conditions under which revenue will (a) rise, (b) fall, or (c) remain the same. Explain the process of revenue at INS, focusing on the relationship between the increased revenue from students enrolling at NUNS despite the higher tuition and the lost revenue from possible lower enrollment. If the true price elasticity were (-1. 2), discuss what you would suggest the university do to expand revenue. Using what you have learned in this course, explain how you would resolve this robber if you were the President of INS.
In a three- to five-page paper (not including title and reference pages), provide subheadings or separate paragraphs for each of the questions listed to help focus your paper for the executives that have requested it. Support your paper with at least two academic sources from the Gifford Library. You are required to format your paper according to PAP style guidelines. Week 3 Discussion 1: Short and Long Run. Let’s assume that you own a fast food restaurant and you are faced with many customers each day eating in the restaurant without any tables.
Describe the difference between the short run and long run in the example to bringing about more tables for the customers. How is the restaurant able to differentiate between the short run and long run? Discussion 2: Fixed and Variable Costs. After reading Chapter 8 in the text and viewing the required video for this week, Fixed, variable, and marginal cost, address the following in your initial post: a. First, describe several different fixed costs and variable costs associated with operating an automobile. B. Next, assume that you would like to travel from Los Angles to
New York City by either car or plane. Which costs would you take into account in making your decision, fixed costs, variable costs or both? Make sure to explain your analysis in the decision tattoo have to make. Week 4 Discussion 1, Market Structures. Explain the most important characteristic in perfect competition, monopolistic competition, oligopoly, and monopolies and relate the characteristic to how these firms can make profits in the short run. In your analysis, make sure to relate an example for each of the market structures listed and how it relates to the particular characteristics.
Discussion 2, Barriers to Entry. Analyze the major barriers for entry and exit into the airline industry. Explain how each barrier can foster either monopoly or oligopoly. What barriers, if any, do you feel give rise to monopoly that will allow the government to become involved to protect consumers? Week 5 Discussion 1 . Transfers. Why would cash transfers typically be preferred by recipients over in-kind transfers? What are the pros and cons of each from a government perspective? Respond to at least two of your classmates. Discussion 2, Tariffs and Quotas. Who gains and who loses from a tariff?