Your younger sister needs $50 to buy a new bike. she has opened a lemonade stand to make the money she needs. your mother is paying for all of the ingredients. she currently is charging 25 cents per cup, but she wants to adjust her price to earn the $50 faster. if you know that the demand for lemonade is inelastic, what is your advice to her?
a. leave the price at 25 cents and be patient.
b. raise the price to increase total revenue.
c. lower the price to increase total revenue.
d. there isn't enough information given to answer this question.

4. suppose that pollution in a neighborhood comes from two factories, with marginal benefit curves given by mb1 = 12 – p1 and mb2 = 8 – p2. the level of pollution in the neighborhood is given by p = p1 + p2. the government wants to limit pollution by instituting a pollution-rights market. the government’s desired level of p is 10, so it prints 10 pollution rights and offers them for sale to the firms.a)find the equilibrium selling price of a pollution right, as well as the allocation of rights (and hence pollution levels) across the two factories. b)repeat part (a) for the case where the government’s desired level of pollution equals 14. c)comment on the usefulness of a pollution rights market in achieving efficient levels of pollution abatement.

Atrough in the business cycle occurs when

States that if there is no specific employment contract saying otherwise, the employer or employee may end an employment relationship at any time, regardless of cause. rule of fair treatment due-process policy rule of law employment flexibility employment at will