1) How much wood would a woodchuck chuck, if a woodchuck could chuck wood at constant marginal cost w with decreasing marginal utility in chucked wood?
2) If Peter Piper picked a peck of pickled peppers at price p, at what supply price elasticity would Peter Piper pick 3 pecks of pickled peppers at price 2p?
3) Sally wants to open a business along a stretch of beach of measure 1. Her competitor has already located at point 0.5. Customers only care about how far they have to walk to the business. Where should she sell seashells on the seashore to maximize profits?
4) I saw a saw that could outsaw any saw I ever saw. It also makes julienned fries better than any saw I ever saw. Under what conditions would it trade with another saw that cannot do either as well?
What can I say? I thought a thought. But the thought I thought wasn't the thought I thought I thought. If the thought I thought I thought had been the thought I thought, I wouldn't have thought so much.
1. keep chucking until mu = mc
ReplyDelete2. looks like the point elasticity would be 2/1 x 2/3 = 4/3.
3. Right next to her competitor, Mr. Hotelling.
4. got me on this one; I'll guess one of a) idiocy; or b)asymmetric information; or c) the saw had other attributes (wink, wink); or d)I lost it in the sun.
What do I win, Dr. Derril?
Hmm, you're right, I should probably come up with official blog currency. Wronging Rights already took Lucky Charms. Some others that already taken are here but that forgets most of the non-fiat versions of currency. If I could get him to be my central banker, maybe they could be "Sumners"....
ReplyDeleteIn the meantime, I guess you win a pickled beach-chucker for 3/4. ... Just don't let him drive you home.
Well, hey, three out of four ain't bad! Thanks for the pickled beach-chucker; I'll try to spend "wisely"...
ReplyDelete