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Be the Manager You were recently hired in a boundary-spanning role for the global unit of an educational and professional publishing company. The company is headquartered in New York (where you work) and has divisions in multiple countries. Each division is responsible for translating, manufacturing, marketing, and selling a set of books in its country. […]

 

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Denny gives each of his two daughters a glass of milk and six cookies for lunch. The two daughters want to trade so that one will drink the two glasses of milk and the other will eat the dozen cookies. Does economic analysis imply that Denny should allow his children to engage in this trade? […]

 

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American Airlines produces round-trip transportation between Dallas and San Jose using three inputs: capital (planes), labor (pilots, flight attendants, and so on), and fuel. Suppose that American’s production function has the following Cobb–Douglas form: T = = aK L F K L F b c d 0.25 0.2 0.55 0.02 , where T is the […]

 

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1. You are running a ticketing booth. There are three agents and each agent is able to serve 1/6 customer per minute (i.e., 10 customers per hour) and their service times are exponentially distributed. Customers arrive at the rate of 21/60 customer per minute and inter-arrival times are exponentially distributed. You have two lines, Line […]

 

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