×
Log in to StudySoup
Get Full Access to Principles Of Economics - 6 Edition - Chapter 15 - Problem Problems and applications 15.10
Join StudySoup for FREE
Get Full Access to Principles Of Economics - 6 Edition - Chapter 15 - Problem Problems and applications 15.10

Already have an account? Login here
×
Reset your password

Textbooks / Business / Principles of Economics 6 / Chapter 15 / Problem Problems and Applications 15.10

You live in a town with 300 adults and 200 children, and you are thinking about putting

Principles of Economics | 6th Edition | ISBN: 9780538453059 | Authors: N. Gregory Mankiw ISBN: 9780538453059 472

Solution for problem Problems and Applications 15.10 Chapter 15

Principles of Economics | 6th Edition

  • Textbook Solutions
  • 2901 Step-by-step solutions solved by professors and subject experts
  • Get 24/7 help from StudySoup virtual teaching assistants
Principles of Economics | 6th Edition | ISBN: 9780538453059 | Authors: N. Gregory Mankiw

Principles of Economics | 6th Edition

4 5 1 273 Reviews
28
3
Problem Problems and Applications 15.10

You live in a town with 300 adults and 200 children, and you are thinking about putting on a play to entertain your neighbors and make some money. A play has a fixed cost of $2,000, but selling an extra ticket has zero marginalcost. Here are the demand schedules for yourtwo types of customer:Price Adults Children$10 0 09 100 08 200 07 300 06 300 05 300 1004 300 2003 300 2002 300 2001 300 2000 300 200a. To maximize profit, what price would youcharge for an adult ticket? For a childsticket? How much profit do you make?b. The city council passes a law prohibiting youfrom charging different prices to differentcustomers. What price do you set for a ticketnow? How much profit do you make?c. Who is worse off because of the law prohibitingprice discrimination? Who is better off?(If you can, quantify the changes in welfare.)d. If the fixed cost of the play were $2,500 ratherthan $2,000, how would your answers toparts (a), (b), and (c) change?

Step-by-Step Solution:
Step 1 of 3

Anglish Meursault the Straw Man http://galenet.galegroup.com/servlet/LitRC locID=pl2567&ADVST2=NA&srchtp=adv&c=10&stab=512&ASB2=AND&DT=Criticism_sel ect&docNum=H1100019613&ADVSF1=Albert+Camus&ADVST1=NAX&bConts=514&vrsn= 3&ASB1=AND&ste=74&tab=2&tbst=asrch&ADVST3=NA An Overview of The Stranger http://galenet.galegroup.com/servlet/LitRC locID=pl2567&ADVST2=TI&srchtp=adv&c=7&stab=512&ASB2=AND&DT=Criticism_select &ADVSF2=The+Stranger&docNum=H1420007782&ADVSF1=Albert+Camus&ADVST1=NA X&bConts=514&vrsn=3&ASB1=AND&ste=74&tbst=asrch&tab=2&ADVST3=NA “He shows no remorse for the crime he has committed, realizing that it occurr

Step 2 of 3

Chapter 15, Problem Problems and Applications 15.10 is Solved
Step 3 of 3

Textbook: Principles of Economics
Edition: 6
Author: N. Gregory Mankiw
ISBN: 9780538453059

Since the solution to Problems and Applications 15.10 from 15 chapter was answered, more than 453 students have viewed the full step-by-step answer. Principles of Economics was written by and is associated to the ISBN: 9780538453059. This full solution covers the following key subjects: . This expansive textbook survival guide covers 36 chapters, and 670 solutions. The full step-by-step solution to problem: Problems and Applications 15.10 from chapter: 15 was answered by , our top Business solution expert on 03/16/18, 04:26PM. The answer to “You live in a town with 300 adults and 200 children, and you are thinking about putting on a play to entertain your neighbors and make some money. A play has a fixed cost of $2,000, but selling an extra ticket has zero marginalcost. Here are the demand schedules for yourtwo types of customer:Price Adults Children$10 0 09 100 08 200 07 300 06 300 05 300 1004 300 2003 300 2002 300 2001 300 2000 300 200a. To maximize profit, what price would youcharge for an adult ticket? For a childsticket? How much profit do you make?b. The city council passes a law prohibiting youfrom charging different prices to differentcustomers. What price do you set for a ticketnow? How much profit do you make?c. Who is worse off because of the law prohibitingprice discrimination? Who is better off?(If you can, quantify the changes in welfare.)d. If the fixed cost of the play were $2,500 ratherthan $2,000, how would your answers toparts (a), (b), and (c) change?” is broken down into a number of easy to follow steps, and 167 words. This textbook survival guide was created for the textbook: Principles of Economics, edition: 6.

Other solutions

People also purchased

Related chapters

Unlock Textbook Solution

Enter your email below to unlock your verified solution to:

You live in a town with 300 adults and 200 children, and you are thinking about putting