Suppose that a subsidy is provided for the consumption of good abc, and the subsidy is different for different units of good abc (e. g., $10 subsidy on the first unit of good abc and $7 on the second unit of good abc, the demand curve with such a subsidy will lie to the of the demand curve without a subsidy, parallel to the demand curve without any subsidy.

Q3. loral corporation manufactures parts for an aircraft company. it uses a computerized numerical controlled (cnc) machining center to produce a specific part that has a design (nominal) target of 1.275 inches with tolerances of ± 0.020 inch. the cnc process that manufactures these parts has a mean of 1.285 inches and a standard deviation of 0.005 inch. compute the process capability ratio and process capability index, and comment on the overall capability of the process to meet the design specifications.