larry, curly, and moe run the saloon in town. larry wants to sell as many drinks as possible without losing money. curly wants the saloon to bring in as much revenue as possible. moe wants to make the largest possible profits. using a single diagram of the saloon's demand draw 1 demand curve to show the price and the quantity combination for each 1 of the stooges.
To draw the demand curve for each of Larry, Curly, and Moe, we need to understand their preferences and goals.
1. Larry wants to sell as many drinks as possible without losing money. This means he wants to set a lower price to attract more customers. Larry's demand curve will be relatively elastic, indicating that a small change in price will cause a large change in quantity demanded.
2. Curly wants the saloon to bring in as much revenue as possible. Revenue is the product of price and quantity, so Curly wants to maximize the price while still maintaining a reasonable level of quantity demanded. Curly's demand curve will be less elastic than Larry's, as he is willing to sacrifice some quantity for higher prices.
3. Moe wants to make the largest possible profits. Profits are the difference between revenue and costs, so Moe aims to maximize both price and quantity. Moe's demand curve will be relatively inelastic, meaning that a change in price will have a smaller effect on quantity demanded.
Now, let's draw the demand curve for each stooge on a single diagram:
- Start by drawing the horizontal axis to represent quantity, and the vertical axis to represent price.
- Begin with Larry's demand curve by plotting a relatively elastic line that starts at a higher quantity and lower price point.
- Next, draw Curly's demand curve by plotting a less elastic line that starts at a lower quantity and higher price point compared to Larry's curve.
- Finally, draw Moe's demand curve as a relatively inelastic line that starts at an even lower quantity and higher price compared to Curly's curve.
Remember that the shape and position of each demand curve reflect the stooges' preferences and goals regarding quantity, revenue, and profits.
Note: Keep in mind that without specific quantities and prices, the actual positions and shapes of the demand curves cannot be accurately represented. The diagram is a general representation based on the given information about the stooges' preferences.