Please set up and solve a price elasticity of demand calculation in the context of your...

 

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Please set up and solve a price elasticity of demand calculation in the context of your CTM. Start by assigning an equilibrium price and quantity for your CTM good or service. Then introduce a price increase and a decrease in the equilibrium quantity. Feed these data points into our price elasticity of demand algorithm from class; derive the numerical result; and interpret the result. Suppose that five years from now you and your immediate supervisor attend a meeting at which the Regional Vice President jumps up and says "I think our product is a very good substitute for a product sold by Company A in Illinois; I want someone to check into that and report the cross-price elasticity to me." Everyone at the meeting nods his or her head enthusiastically, but then looks away when the vice president tries to make eye contact and confirm a volunteer. Please save your colleagues by stepping forward; introducing yourself; explaining what the cross-price elasticity means; and by illustrating how it is computed and how the data is interpreted with some fictional numbers that make sense in the context of your CTM. Please prepare the above in the format of a one-act play, to capture how such a presentation is likely to unfold in your workplace. As far as the one- act play format is concerned, please see the sample start to the format provided in Section 2 of my 2017 paper in the International Review of Economics Education posted for your convenience at our mycourses webpage. Aim for one to two pages of content here. For this question, please create a numerical example that illustrates the concepts of consumer surplus, producer surplus and economic surplus (also known as economic welfare). Think about a recent purchase you made and write down the price you paid as well as the highest amount you would be willing and able to pay for that unit of good or service. Please explain the meaning of 'consumer surplus' and compute how much consumer surplus you earned on this transaction. Then, assuming the price you paid is the equilibrium price, define the concept of producer surplus and assign a marginal cost that the producer incurred to bring your unit to market. How much producer surplus did Please set up and solve a price elasticity of demand calculation in the context of your CTM. Start by assigning an equilibrium price and quantity for your CTM good or service. Then introduce a price increase and a decrease in the equilibrium quantity. Feed these data points into our price elasticity of demand algorithm from class; derive the numerical result; and interpret the result. Suppose that five years from now you and your immediate supervisor attend a meeting at which the Regional Vice President jumps up and says "I think our product is a very good substitute for a product sold by Company A in Illinois; I want someone to check into that and report the cross-price elasticity to me." Everyone at the meeting nods his or her head enthusiastically, but then looks away when the vice president tries to make eye contact and confirm a volunteer. Please save your colleagues by stepping forward; introducing yourself; explaining what the cross-price elasticity means; and by illustrating how it is computed and how the data is interpreted with some fictional numbers that make sense in the context of your CTM. Please prepare the above in the format of a one-act play, to capture how such a presentation is likely to unfold in your workplace. As far as the one- act play format is concerned, please see the sample start to the format provided in Section 2 of my 2017 paper in the International Review of Economics Education posted for your convenience at our mycourses webpage. Aim for one to two pages of content here. For this question, please create a numerical example that illustrates the concepts of consumer surplus, producer surplus and economic surplus (also known as economic welfare). Think about a recent purchase you made and write down the price you paid as well as the highest amount you would be willing and able to pay for that unit of good or service. Please explain the meaning of 'consumer surplus' and compute how much consumer surplus you earned on this transaction. Then, assuming the price you paid is the equilibrium price, define the concept of producer surplus and assign a marginal cost that the producer incurred to bring your unit to market. How much producer surplus did

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Question 1 A CTM good or service is a product that has been developed by a company to meet its customers needs To set up and solve a price elasticity of demand calculation in the context of this CTM l... View the full answer