Saturday
August 2, 2014

Homework Help: economics

Posted by Monnie on Saturday, January 23, 2010 at 7:43pm.

1. In an article about the financial problems of USA Today, Newsweek reported that the paper was losing about $20 million a year. A Wall Street analyst said that the paper should raise its price from 50 cents to 75 cents, which he estimated would bring in an additional $65 million a year. The paperís publisher rejected the idea, saying that circulation could drop sharply after a price increase, citing the Wall Street Journalís experience after it increased its price to 75 cents. What implicit assumptions are the publisher and the analyst making about price elasticity?

Answer this Question

First Name:
School Subject:
Answer:

Related Questions

ECONOMICS - In an article about the financial problems of USA Today, Newsweek ...
Managerial Economics - In an article about the financial problems of USA Today...
home economics - In an article about the financial problems of USA Today, ...
Manageral Economics (Economyst Only Please) - In an article about the financial ...
economics - In the article about the financial problems of USA Today, Newsweek ...
economics - In an article about the financial problems of USE Today, Newsweek ...
price elasticity - In an article about the financial problems of USA Today, ...
Economics - I think I get this but could use some guidance to make sure, I am ...
Statistic Help please - During a given month, P(A)=0.75,P(B)=0.6, and p(A and B...
Microeconomics Assignment - Ok i have this assignment to do and i just can't ...

Search
Members