Essay on Home Work
School : LSB Department of Management
Name of the faculty member : Neha Shandilya
Course No. ECO515 Course Title: Managerial Economics
Class: MBA Semester I Section: R1001 Batch 2010-12
Max. Marks: 15 Date of …show more content…
2 The fundamental economic problems of what to produce, how to produce and for whom to produce are solved differently by different economic systems. Discuss how a capitalist Economy solves these problems.
3 Tomatoes and potatoes are available for Rs. 7/kg and Rs. 10 /kg respectively. If you have an income of Rs. 35000, draw the budget line as graph.
4 Suppose you are the manager of California winey. How would you expect the following events to affect the price you receive for a bottle of wine?
a. The price of French wines decreases
b. One hundred new wineries open in California
c. The unemployment rate in USA decreases
d. The price of cheese increases
e. The price of a glass bottle increases significantly due to government anti-shatter regulations
5 Other things being the same what would happen to the supply of a particular product if
a. price of the product decreases
b. a technological breakthrough enables the good to be produced at a significantly lower cost
c. the price of inputs used to produce the product increases
d. the price of substitute commodity decreases
e. the managers of the firms that produce that good expect the rise in price of that product in near future
6 A) What is income consumption curve? Draw